PHH was founded in 1946 in Mount Laurel, New Jersey, and is named after its three founders: Duane Peterson, Harley Howell, and Richard Heather.
The company initially offered mortgages, employee relocation services, and fleet management services. Currently, PHH is one of the nation’s largest sub-servicers of mortgages. After belonging to several different corporate owners, PHH eventually began operating independently again in 2005 as a publicly traded company.
As of October 2018, PHH has been purchased by and is a wholly-owned subsidiary of Ocwen Financial Corporation, although it continues to operate under the PHH brand.
Table of Contents
PHH Mortgage Facts
- Fixed- and adjustable-rate, FHA, VA, Jumbo, investment, vacation, and other mortgage options
- One of the largest holders of consumer mortgages in the nation
- Home purchase checklist with comprehensive and detailed advice for the homebuying process
- A variety of affordable mortgage options for qualified borrowers
- Homeowner assistance programs for borrowers struggling to make payments
Overview
The PHH Corporation offers mortgage options for all types of borrowers, including conventional fixed- and adjustable-rate mortgages, FHA, VA, and Jumbo loans. Ít directly offers its mortgage products in several states and also functions as a mortgage sub-servicer across the United States.
Current PHH Mortgage Rates
Specifics
Fixed-Rate Mortgage
A fixed-rate mortgage is a great option for borrowers who plan to stay in the purchased home for several years and want to lock in a low rate. Since the rate stays the same for the length of the loan and can’t go up or down, borrowers know what to expect in their monthly payments and budget accordingly.
PHH offers 10-, 15-, and 30-year fixed-rate mortgages. Conventional fixed-rate loans usually require a 20 percent down payment.
Adjustable-Rate Mortgages (ARMs)
Adjustable-rate mortgages provide homebuyers with an initial fixed-rate period, followed by variable rates that adjust to market conditions. The interest rates during the loan’s first years are generally lower than those from fixed-rate mortgages, but borrowers might end up paying more than they expected if rates increase after the initial period, although rates could also decrease over time.
Applicants who are planning to sell soon or refinance later may benefit the most from an adjustable mortgage by taking advantage of the introductory low rates.
FHA Loans
These government-backed loans by the Federal Housing Administration (FHA) offer affordable financing with lower monthly payments and down payments, even if the borrower’s credit score is less-than-perfect. For prospective home-buyers who meet the income qualifications, down payments as low as 3.5 percent are available for fixed or adjustable-rate loans.
VA Loans
PHH’s VA loans are an affordable mortgage option available to veterans, members of the armed forces, and their spouses. The VA guarantees part of the mortgage, allowing applicants to qualify for more favorable terms than they otherwise would under a conventional loan. Low or no down payment, fixed- or adjustable-rate, and no private mortgage insurance (PMI) options are available.
Jumbo Loans
These loans help borrowers secure a larger mortgage with competitive interest rates and loan terms, typically for homes valued over $726,200. Jumbo loans are best for borrowers purchasing in high-cost home markets. However, because of their size, they call for stricter qualification requirements such as high credit scores, low debt-to-income (DTI) ratios, available cash, and ample documentation of the borrower’s financial history.
Comprehensive Overview of PHH Mortgage Loan Options
| Loan Type | Features/Details |
|---|---|
| Fixed-Rate Mortgage | • Predictable, Locked-In Low Rate for Long-Term Homeownership • PHH Offers 10-, 15-, and 30-Year Terms |
| Adjustable-Rate Mortgages (ARMs) | • Initial Fixed-Rate, Then Variable Rates • Lower Initial Rates • Ideal for Those Planning to Sell or Refinance Soon |
| FHA Loans | • Government-Backed With Low Monthly Payments • Down Payments as Low as 3.5% for All Credit Types |
| VA Loans | • Affordable for Veterans and Armed Forces • Low or No Down Payment, Fixed- or Adjustable-Rate, and No PMI |
| Jumbo Loans | • Competitive Rates for Larger Mortgages ($726,200+) • Best for High-Cost Home Markets with Stricter Qualifications |
PHH Mortgage Customer Experience
PHH features extensive home loan products for all types of buyers, like first-time homeowners, refinancers, repeat home buyers, investment property buyers, and vacation home buyers. Potential borrowers can start the application process online and use PHH’s buyer’s checklist to get detailed information on each step in the home-buying process.
Online calculators, articles, and other helpful information can assist prospective borrowers in estimating their monthly payments and determining how much they will need for a down payment.
Borrowers can receive prequalification by applying online or calling one of PHH’s loan specialists. However, to complete the process and receive a full quote, applicants must provide personal and financial information.
As with all other mortgage lenders, PHH requires documentation for mortgage loan applications. Borrowers must show that they can afford monthly payments in order to qualify and are asked to provide bank statements, W2 forms, tax returns from past years, pay stubs, asset and income documentation, and other evidence as needed.
Requirements and credit standards do vary by loan type, but PHH’s mortgage specialists work with applicants to create a full profile on the borrower’s overall ability to repay the loan.
PHH Lender Reputation
PHH has a Better Business Bureau (BBB) rating of A, with 935 closed complaints during the last three years. Based on 50 customer reviews, PHH averages a 3.99 out of 5 score.
- Information collected October 20, 2023
Mortgage Qualifications
| Credit Score | Quality | Ease of Approval |
|---|---|---|
| 760+ | Excellent | Easy |
| 700-759 | Good | Somewhat easy |
| 621-699 | Fair | Moderate |
| 620 and below | Poor | Difficult |
| n/a | No credit score | Difficult |
Applicants with a credit score of 760 and up generally receive the best mortgage options available. Borrowers with scores between 700 and 759 do not necessarily qualify for the best mortgages but will probably receive at least a few favorable loan options to choose from.
Applicants with “fair” credit scores may want to seek out an alternative mortgage program through PHH or other lenders since they won’t necessarily receive the best possible offers. PHH does not specifically have loans for borrowers with no credit history or low credit scores, although alternative programs may offer different loan options for these types of applicants.
During the process, it’s helpful to supply loan officers with any available income and asset documentation. This way, they’ll be able to better understand the customer’s financial profile and offer the best possible mortgage rates.
| Debt-To-Income Ratio | Quality | Likelihood of Getting Approved by a Lender |
|---|---|---|
| 35% or Less | Manageable | Likely |
| 36-49% | Needs Improvement | Possible |
| 50% or More | Poor | Unlikely |
PHH will typically offer better terms to applicants with debt-to-income (DTI) ratios of 30 percent or less. Would-be borrowers applying with higher DTIs may want to ask about alternative loan programs at PHH and government-backed loan programs in order to qualify for the best mortgages.
PHH Phone Number and Additional Details
Homepage URL: https://www.phhmortgage.com/
Company Phone: 1-800-449-8767
Headquarters Address: 1 Mortgage Way, Mount Laurel, NJ 08054
The Bottom Line – PHH Mortgage Rates Review
In sum, PHH stands as a seasoned player in the mortgage industry, offering a diverse range of options tailored to various buyer needs. From fixed-rate mortgages to specialized VA loans, their offerings cater to a broad spectrum of homeowners.
Their commitment to customer education, evident through tools and checklists, seeks to demystify the home-buying process. While the company’s reputation based on customer reviews and BBB ratings indicates areas for enhancement, its extensive history underscores its enduring presence and reliability.
Prospective borrowers are encouraged to assess all available choices and consider their unique circumstances when selecting a mortgage provider.
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By obtaining data directly from lenders and carefully reviewing loan terms and conditions, we ensure a comprehensive assessment. Our research, combined with real-world feedback, shapes our evaluation process. Lenders are then rated on various factors, culminating in a star rating from one to five.
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Product Name: PHH Mortgage Product Description: PHH Mortgage, originating in Mount Laurel, New Jersey in 1946, is one of the prominent mortgage subservices in the U.S. Operating under the ownership of Ocwen Financial Corporation since 2018, it offers a broad spectrum of mortgage options, including fixed and adjustable rates, as well as specialized loans. Summary Founded by Duane Peterson, Harley Howell, and Richard Heather, PHH Mortgage has evolved considerably over the decades. Initially dabbling in multiple services like employee relocation and fleet management, it now chiefly focuses on mortgage services. Catering to various buyer profiles, from first-time homeowners to investment property buyers, PHH provides conventional fixed and adjustable-rate mortgages, FHA, VA, Jumbo loans, and more. With its online platform equipped with tools and resources, PHH endeavors to simplify and assist the home-buying process. Pros Cons
PHH Mortgage Rates Review
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