Angel Oak Home Loans LLC is a full-service mortgage lender well-known for traditional and non-traditional (non-qualified) mortgage loans. It is an industry leader in alternative lending solutions with its innovative mortgage products designed to cater to borrowers who fall outside the conventional loan guidelines.
What is Angel Oak?
Founded in 2010, Angel Oak is a mortgage lending platform delivering a variety of mortgage and consumer credit solutions. It is dedicated to providing innovative loan products through an integrated platform that enables them to offer unique solutions to its clients.
How Do Home Loans from Angel Oak Work?
At Angel Oak Home Loans, borrowers have a wide variety of traditional and Non-QM mortgage options. In addition, the mortgage solutions offered by the company are tailor-made to suit specific borrowers based on their needs and qualifications.
Borrowers typically fill out an application online for their preferred loan product, after which they are paired with a Licensed Mortgage Originator who will walk them through the entire loan process. Angel Oak’s experienced team of mortgage originators supports the client throughout their journey to ensure customer satisfaction.
The Benefits of Angel Oak Home Loans
Wide Variety of Mortgage Solutions
Aside from the company’s traditional offerings, Angel Oak Home Loans is an industry leader in non-QM lending. As a result, borrowers have a wide selection of loan products to choose from, depending on their financing needs.
The U.S. housing market is constantly changing, making the mortgage industry more complex, especially with the rise of the gig economy and a whole class of non-traditional borrowers. Having a wide range of choices gives you more flexibility and ways to approach financing if you need an unconventional loan.
Navigating the mortgage industry can be overwhelming when purchasing or refinancing, especially for first-time homebuyers. Angel Oak seeks to make the process seamless by ensuring each borrower has access to a licensed mortgage originator advisor who will walk them through the different loan offerings and answer any questions regarding their financial decisions.
Angel Oak Home Loans is perfect for prospective homebuyers looking to close fast. Non-QM loans typically take a shorter period than conventional loans because the application process is less rigorous. The full-service mortgage lender ensures a faster, more efficient closing process for their clients.
Where Are Angel Oak Home Loans Available?
Angel Oak Home Loans are currently available to borrowers with local branches throughout the Southeast, Eastern, and Western regions. The company is in the process of executing its strategic expansion plan aimed at providing personalized mortgage solutions for a diverse client base.
Traditional Mortgage Products from Angel Oak
Conventional Home Loan
For qualified homebuyers, conventional mortgage loans offer various down payment options. These loan programs have greater flexibility compared to other loan types. Angel Oak’s conventional loan adheres to the GSE (Fannie Mae and Freddie Mac) guidelines but is provided by Angel Oak. The conforming limit for 2023 is $726,200 for single-unit properties, an increase from $647,200 in 2022. This limit goes up to $1,089,300 for high-cost areas. Conventional home loan is available for purchase, cash-out refinance, or rate-term refinance.
You can get started with a 3% down payment if you have good credit. You will need a 620 credit score or higher to qualify for a conventional mortgage loan. A better credit score will help you secure lower interest rates.
FHA Home Loan
Angel Oak’s Federal Housing Administration home loan is insured by the U.S. government. This means homebuyers get a lower down payment and credit requirements. With this residential mortgage product, eligible borrowers can pay as low as a 3.5% down payment, depending on their credit score. You can even get this financing if you have a 500 credit score. Borrowers with a 500 credit score must make a 10% down payment.
An FHA residential mortgage only applies to a primary residence. The FHA does not let borrowers use these loans for second homes or investment properties. You can buy a duplex, triplex, or quadplex if you live in one of the units. Maximum loan amounts vary by location, just like conventional loans. You will have to pay private mortgage insurance for 11 years or the duration of the loan, depending on which is shorter. FHA loans offer an easier path to homeownership, and you can refinance the loan in the future to get out of PMI payments. Properties with 2-4 units have higher loan maximums.
USDA Home Loan
The Angel Oak USDA home loan is designed explicitly for homebuyers in qualified rural areas. Homebuyers with low to moderate income get access to lower down payment options, provided the home is in a qualified USDA area. These loans are backups for homeowners in qualifying locations that cannot obtain a conventional residential mortgage loan. While the standards are less strict than conventional mortgages, borrowers must have a steady income that can reliably cover the monthly payments. Borrowers can find USDA home loans with 30-year terms and fixed interest rates.
VA Home Loan (Veterans Affairs)
VA home loans are guaranteed by the U.S. Department of Veterans Affairs. It is specifically for American veterans, military in active duty, and honorably discharged veterans. No down payment is required with this loan product, and up to 100% financing is available. THE VA stands behind a portion of every loan, effectively reducing the lender’s risk. This relationship allows veterans to get more attractive interest rates even when they put no money down for these financial products. VA home loans apply to veterans who want to buy or refinance their loans. Borrowers seeking a refinance can get a cash-out or interest rate reduction.
Non-QM Mortgage Products from Angel Oak
Bank Statement Loan
Eligible self-employed borrowers can use 12 or 24 months of personal or business bank statements to verify income instead of tax returns under the bank statement mortgage program. Angel Oak’s program enables these self-employed borrowers to purchase or refinance a home, provided they meet the eligibility requirements. You must be self-employed for at least two years to qualify, and borrowers can take out $150,000 to $3 million for this loan. Any negative items like bankruptcies, foreclosures, and short sales require a two-year seasoning period before you can get a loan.
1099 Income Loan
1099 workers such as freelancers and contractors who don’t qualify for mortgages under Agency guidelines can now get financing through Angel Oak’s 1099 income loan. This loan product allows self-employed borrowers to use their earning statements in place of tax returns in their loan applications.
Investor Cash Flow Home Loan
Perfect for investors, this loan product enables borrowers to use a property’s cash flow to qualify. Borrowers do not have to provide tax returns or employment information to apply for this loan type.
Jumbo Home Loan
Angel Oak’s Jumbo Home Loan is for home purchases that exceed FHA limits. Homebuyers who just miss Prime qualifications can apply for this loan program. Non-QM Platinum and Gold Jumbo loans are capped at $3 million, but you can borrow up to $3.5 million with a Gold Prime Jumbo loan.
Asset Qualifier Home Loan
This loan product is ideal for homebuyers with sizeable liquid assets. Instead of a steady income, liquid assets are used to qualify for the loan. To qualify for an Angel Oak asset qualifier loan, you must have at least $500,000 in liquid assets post-closing.
Foreign National Program
Angel Oak also offers the Foreign National Program loan to borrowers living outside the U.S. You can use your property’s cash flow to qualify for the loan.
Portfolio Select Home Loan
This loan product is for borrowers recovering from a credit event. This full doc loan solution allows two years seasoning for bankruptcy and a one year seasoning for deed-in-lieu, short sale, or foreclosure.
Refinance A Loan with Angel Oak
Refinancing your mortgage is a great way to save money or free up some cash that you can use to finance a project such as a home renovation. If you’re looking to refinance but unsure whether you’re eligible, enquire about Angel Oak home loans, and a licensed mortgage advisor will reach out to you.
What Are Angel Oak Reviews Saying?
A few Angel Oak clients had the following to say:
- “Was extremely informative and easy to work with. Kept me updated every step of the way!” – Chris L. (Angel Oak Home Loans Testimonials)
- “Wonderful experience! Everyone was professional and responsive to our questions! Would highly recommend this team!” – Kim E. (Angel Oak Home Loans Testimonials)
- “Carden helped me a lot. We went through this process together. I’d like to thank him and his team.” – Iqrar. (Angel Oak Home Loans Testimonials)
- “Angel Oak Home Loans is an absolute awesome place to go when you need help getting a loan. In the process of moving from Texas to Georgia, while looking to buy a house, we happened upon a realtor who steered us to Kayla Sasser. We cannot say enough about Kayla, Scott and the whole team that helped us every step of the way to get the loan we needed to get the house we love. During the whole process, in addition to their help with the paperwork and all that comes with applying for a loan, we developed a friendship. Every time we had a question or needed advice, Kayla was always there to help. If it weren’t for Kayla and the Angel Oak Home Loan team, we wouldn’t be in the house we both love. Thank you all for everything you did for us. You all are a blessing, and we will forever be grateful. Keep up the good work!” -Kathy H (Angel Oak Home Loans Testimonials)
How to Get Started with a Home Loan Angel Oak
To get started, visit Angel Oak’s official website and fill out an online form. Afterward, you’ll be connected with a licensed mortgage advisor to walk you through the entire process.