Redfin, which expanded into mortgage lending last year, is growing its lending business again.
Initially, Redfin Mortgage was available in Texas. Then, the company expanded to Illinois, Washington, D.C., Pennsylvania, and Virginia.
Now, Redfin is setting up a mortgage operation in Minnesota as well.
Redfin Mortgage currently offers fixed-rate and adjustable-rate conforming mortgages, as well as jumbo loans, along with fully underwritten pre-approvals, in every market it serves.
According to the company, Redfin Mortgage also offers a 30-day closing guarantee. If Redfin Mortgage is unable to fund a mortgage within 30 days, the company will give the homebuyer a $1,000 credit toward closing costs, subject to certain terms and conditions.
The company said that it can provide the 30-day closing guarantee because it fully underwrites the borrower before the buyer picks a property to purchase.
“Submitting an offer with a pre-approval from Redfin Mortgage, backed by its 30-day closing guarantee, can help homebuyers earn the seller's confidence that the deal will close on time, which can be a competitive edge in our hot real estate market,” said Chris Prescott, Redfin market manager for the Twin Cities.
According to the company, Redfin Mortgage is “built to seamlessly integrate” with Redfin's home-buying service and Title Forward, which is Redfin's title insurance and settlement company.
“Redfin Mortgage and Title Forward are working toward offering a totally digital transaction, from loan application to closing, with better service and lower fees,” Prescott said. “The combination of Redfin’s full service real estate brokerage, Title Forward, and now Redfin Mortgage is a hat trick for homebuyers in the state of hockey.”
Redfin notes that its real estate agents are not compensated for recommending Redfin Mortgage or Title Forward.
The company also said that it plans to continue expanding its mortgage operation to other states in the near future.
