Frequently asked questions

Email, text, or call us any day of the week (mortgageteam@hellotomo.com, 737-510-2523). Our weekday hours are from 8AM-8PM CST, Saturdays from 9AM-3PM CST, and Sundays from 11AM-5PM CST. We are closed on New Year’s Day, Martin Luther King Jr Day, Memorial Day, Juneteenth, Independence Day, Labor Day, Veteran’s Day, Thanksgiving Day, and Christmas Day. If you need us on Halloween, we’ll be there, likely wearing a costume.

Tomo Mortgage is available in 35 states including California, Texas, Florida, New York, and Washington.

Full state list:

• Alabama
• Alaska
• Arizona
• Arkansas
• California
• Colorado
• Connecticut
• District of Columbia
• Florida
• Georgia
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maryland
• Michigan
• Minnesota
• Nebraska
• New Jersey
• North Carolina
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• South Carolina
• Tennessee
• Texas
• Utah
• Virginia
• Washington
• Wisconsin
• Wyoming

If your state isn't listed, check back soon—we're actively expanding to new markets.

Tomo Mortgage supports homebuyers with a minimum credit score of 580. While a higher score often secures better rates, Tomo Mortgage's flexible requirements help a wider range of buyers qualify. (A great singing voice is always a bonus, but not required!)

Your credit score significantly impacts your loan options and monthly savings. Here is how different credit tiers generally affect your mortgage:

• 760–850 (Excellent): Qualify for the lowest possible market interest rates and most favorable terms.
• 700–759 (Very Good): Access highly competitive rates, typically just slightly above the top tier.
• 620–699 (Fair to Good): Eligible for most conventional loans, though you may pay more for private mortgage insurance (PMI) and higher interest.
• 580–619 (Building Credit): Primarily limited to FHA or VA loan products, which offer flexible terms but often carry the highest interest rates.

No Social Security Number? If you are applying without an SSN using an individual taxpayer identification number (ITIN), please call our team at (737) 510-2523 to discuss special loan options.

Indeed! That’s one of the great things about our pre-approvals. We make it easy for you to edit your pre-approval application any time, day or night, so that you can explore what would happen if you, for example, increased your down payment or held onto your existing property and rented it out. Ready to make an offer? You can reduce the amount on your pre-approval letter to match your offer to avoid showing your hand to the seller. Just log in and click “Adjust home price.” Make that letter work for you.

A hard credit check is a critical part of getting a mortgage. It helps us confirm your eligibility and without it we can’t determine the type of mortgage product and interest rate you’ll qualify for. The impact of a mortgage hard credit check is low (typically 3-8 points), is temporary (typically 12 months), and is usually the same no matter how many other mortgage hard credit checks you get in a 30 day period.

Pre-approval letters expire after 120 days. If your financial situation changes before then, you may also need an updated letter. The good news is that it’s easy to renew them, and we’re here to help you do so any time.

It depends. Mortgage rates change every day, and rates will most likely have changed by the time you go under contract. A Loan Advisor will talk to you about locking your rate.

Of course. We know one person can’t whistle a symphony. We’ll supply your Loan Advisor with your agent’s name and contact info early on so we can keep them updated as you progress with your application. We’re one team after all.

The minimum down payment is 3% for conventional loans, 3.5% for FHA loans, or 0% for VA loans.

Putting down 20% or more:

• Eliminates PMI (saves $100-300/month on a $400k loan)
• Lowers your interest rate by 0.25-0.5%

Your exact requirement depends on credit score, loan type, and property use.

You can use multiple types of assets for your down payment:

Cash and liquid assets:

• Savings, checking, or CD accounts
• Stocks and bonds
• Cryptocurrency (must be converted to USD before closing)

Other sources:

• Proceeds from selling your current home
• Retirement accounts (401k withdrawals or loans)
• Gift funds from family members

If you have another asset type, reach out—we can likely work with it.

Yes, Tomo Mortgage offers down payment assistance programs to eligible buyers in Connecticut.

We're working to expand these programs to additional states. If you're buying outside Connecticut, ask your Loan Advisor about other down payment options like gift funds, grants, or local assistance programs you may qualify for.

Ask a lender for a Loan Estimate – every lender must provide one within 3 business days of your application.

Focus on these sections:

• Interest rate and APR (Page 1) - compare apples-to-apples
• Closing costs (Page 2, Section J) - fees that vary by lender
• Lender fees (Page 2, Section A) - Tomo Mortgage charges $0, saving you ~$2,000

Don't just compare rates—lenders with lower rates often charge higher fees. Look at the total cost over your expected timeline in the home.

Your mortgage rate is primarily determined by your credit score, followed by down payment, and market conditions.

Credit score impact:

• 760+: Lowest available rates
• 720-759: ~0.25-0.5% higher
• 700-719: ~0.5-0.75% higher
• 680-699: ~0.75-1% higher

Putting down 20%+ typically reduces your rate by another 0.25-0.5%. We offer rates with points, credits, or neither (par rates).

Points and credits let you trade upfront costs for a different rate.

Discount points: Pay more upfront, get a lower rate.

• 1 point = 1% of loan amount = ~0.25% lower rate
• Example: $4,000 in points on a $400k loan drops your rate from 6.5% to 6.25% (saves ~$60/month)

Lender credits: Get closing cost help, accept a slightly higher rate

Reverse of points—0.25% higher rate might give you $4,000 toward closing

We help you decide based on how long you plan to own the home.

No, Tomo Mortgage does not charge prepayment penalties on any of its loan products. Borrowers are free to pay off their mortgage balance in full or make extra principal payments at any time without incurring additional fees. This flexibility allows homeowners to save on long-term interest costs or refinance their loans in the future without financial friction.

Your credit score is a primary factor in determining your interest rate, as it represents your perceived risk to a lender. Generally, higher credit scores qualify for lower interest rates, while lower scores result in higher monthly payments.

Typical credit tiers:

• 760+ (Excellent): Qualifies for the lowest available market rates and best terms.
• 720–759 (Very Good): Highly competitive rates, though slightly higher than the top tier.
• 700–719 (Good): Standard market rates.
• 680–699 (Fair): Higher interest rates and potentially higher private mortgage insurance (PMI) costs.
• 620–679 (Below Average): The minimum range for most conventional loans, often resulting in the highest interest rates.

Beyond your credit score, several personal and market-based variables determine your final interest rate:

Credit Score: Your history of managing debt and making on-time payments.

Down Payment: Larger down payments lower the lender's risk and can reduce your rate.

Loan Amount & Term: The total borrowed amount and the length of the loan (for example, 15 vs. 30 years).

Debt-to-Income Ratio (DTI): The percentage of your monthly income that goes toward debt payments.

Property Type and Occupancy: Rates may vary between, for example, single-family residences and condominiums, or primary residences, second homes, or investment properties.

Market Conditions: Broader economic factors, including inflation, Federal Reserve policy, and bond market dynamics.

Tomo Mortgage provides a variety of loan products to suit different homebuyer needs, focusing primarily on purchase mortgages. Our offerings include:

Conventional Loans: The most common loan type for buyers with solid credit and at least 3% down.

FHA Loans: Government-backed loans ideal for first-time buyers or those with lower credit scores (starting at 3.5% down).

VA Loans: Exclusive no-down-payment options for eligible veterans and service members.

Jumbo Loans: High-balance mortgages for luxury properties that exceed standard conforming loan limits.

Tomo Mortgage charges $0 in lender fees—no origination, processing, or underwriting fees.

This saves you an average of $2,000 compared to traditional lenders. You only pay required third-party costs like appraisal ($500-800) and title insurance.

Closing costs typically range from 2% to 5% of your loan amount, averaging around 3% for most borrowers. 3% is around $12,000 on a $400k loan.

What's included:

• Third-party costs (appraisal, title insurance, credit report)
• Prepaid taxes and insurance
• Escrow deposits (2-3 months)
• Points or credits (if you choose them)

Tomo Mortgage saves you ~$2,000 by eliminating lender fees. You'll get a detailed Loan Estimate within 3 business days of applying and a final Closing Disclosure 3 days before closing.

Tomo Mortgage can close a home loan in as little as 12 to 21 days, significantly outperforming the industry average of 42 days. It's recommended to lock your rate as soon as you're under contract.

By utilizing a digital-first underwriting process and real-time asset verification, Tomo Mortgage streamlines the traditional bottlenecks of mortgage lending.

This speed gives buyers a competitive advantage in hot markets, ensuring they can meet tight contract deadlines that traditional lenders often miss.

Lock your rate as soon as you're under contract.

Tomo Mortgage typically closes in 12-21 days vs. the 42-day industry average, so a standard 30-60 day rate lock covers your entire timeline. Since rates change daily (sometimes multiple times), locking immediately after your offer is accepted protects you from increases.

If rates go up after you lock, you're protected — your locked rate stays the same.

If rates drop by at least 0.25% before closing, Tomo Mortgage's float-down program lets you take advantage of the lower rate. Your Loan Advisor will monitor market rates and help you secure the best available rate.

You get protection from increases plus the opportunity to benefit from decreases.

Tomo Mortgage's float-down program lets you lower your rate if market rates drop 0.25% or more after you lock.

How it works:

• We track Freddie Mac's weekly mortgage rate survey, which is updated every Thursday
• If rates drop 0.25%+ from your lock date, you can float down
• You get the rate reduction minus our 0.125% execution cost
• Example: If rates drop 0.25%, your rate drops 0.125%; if they drop 0.5%, your rate drops 0.375%

Requirements:

• Only available for conforming, qualified mortgages
• Can only float down once per loan
• Must close at least 7 days after the float-down request

Yes, Tomo Mortgage offers a Price Match Guarantee. If you receive a better price from another lender, we'll match it.

Bring us a competitor's Loan Estimate and we'll review it to ensure you're getting the best deal. This applies to both interest rates and closing costs, so you never have to choose between Tomo Mortgage's service and getting the lowest price.

Submit a valid Loan Estimate from another lender dated within one business day of when you send it to Tomo Mortgage. The Loan Estimate must include the competing lender's contact information.

Requirements:

• Primary residences only
• One price match per loan
• Loan Estimate must be comparable (same loan amount, term, and property type)

See full terms and conditions for details on qualifying offers.

Tomo Mortgage's Appraisal Coverage guarantees you won't need to bring extra cash to closing if your home appraises for less than the purchase price.

Your interest rate, monthly payment, and cash-to-close stay the same—even if the appraisal comes in low. This protects you from one of the biggest last-minute surprises in home buying.

You need three things to qualify for Tomo Mortgage's Appraisal Coverage:

1. Get pre-approved with Tomo Mortgage
2. Work with a Tomo Mortgage partner real estate agent who verifies your property address before you make an offer
3. Put down at least 10%

Your Tomo Mortgage Loan Advisor can connect you with partner agents in your area. See full terms and conditions for complete eligibility requirements.

If you have Tomo Mortgage's Appraisal Coverage, you won't need to bring extra cash to closing—your rate, monthly payment, and closing costs stay exactly the same.

Without coverage, a low appraisal typically means you need to either:

• Bring more cash to closing to cover the gap
• Renegotiate the purchase price with the seller
• Walk away from the deal (if you have an appraisal contingency)

Appraisal Coverage eliminates the financial uncertainty while still giving you the option to renegotiate or cancel if you choose.

Not necessarily. Even with Appraisal Coverage protecting your cash at closing, keeping the appraisal contingency gives you important options.

Why you might keep it:

• You can walk away if the appraisal is significantly low
• You can renegotiate the purchase price with the seller
• You avoid overpaying for a home that doesn't appraise

Why you might waive it:

• Makes your offer more competitive in multiple-bid situations
• Shows sellers you're committed to closing

Your real estate agent can help you decide based on your local market and specific situation.