First Republic Bank was founded in 1985 and has headquarters in San Francisco, California. It offers private banking services for individuals and businesses, as well as private wealth management. The bank operates in California, Massachusetts, Connecticut, New York, Oregon, Wyoming, and Florida.
It has 75 brick-and-mortar branches, of which 53 are located in California. First Republic sold $92.1 million in home loans during the third quarter of 2018, putting the bank in the top 25 U.S. lenders based on loan volume. Their stocks are publicly traded in the S&P 500 and Nasdaq.
First Republic Quick Facts
- BBB-accredited with an A+ rating
- Provides a variety of conventional mortgage options, including fixed-, adjustable, and hybrid adjustable-rates,
- Special mortgages available such as vacation and second home loans, construction and permanent loan bundle, and loans with competitive rates for individuals in certain communities
- 75 banking offices in the states it operates in: California, Massachusetts, Connecticut, New York, Oregon, Wyoming and Florida.
- Reputable banking institution that currently manages $99.2 billion in assets and $75.9 billions on loans.
History of First Republic Mortgage
During its 34 years of operation, First Republic Bank has quickly earned the reputation as a trusted lending institution dedicated to customer-focused service and support.
This lender offers a number of conventional mortgage options, including fixed- and adjustable-rate, and second home loans, alongside several specialty programs for borrowers living in certain census tracts. Despite its modest variety of home loan products, First Republic does not facilitate any government-backed mortgages.
This banking institution has been accredited by the Better Business Bureau since 2016. Currently, First Republic’s BBB profile displays an A+ rating with only 10 customer complaints having been filed over the past 3 years, all of which have been resolved.
Unfortunately, this lender offers little information about its mortgage products on its website. It does not provide any specific information about down payment requirements, credit score expectations or average interest rates.
Therefore, First Republic’s overall online experience is subpar, as it does not allow users to obtain rate quotes or start the application process digitally.
That said, this lender is a great choice for homebuyers looking for a traditional banking experience and who live close by to one of its banking locations in California, Massachusetts, Connecticut, New York, Wyoming, Florida, and Oregon.
Current First Republic Mortgage Rates
| Credit Score | Credit Rating | Mortgage Rate Impact |
|---|---|---|
| 800 - 850 | Exceptional | Able to secure the best available interest rates from almost every lender |
| 740 - 799 | Very Good | Able to secure better than average interest rates from most lenders |
| 670 - 739 | Good | Able to secure average interest rates from most lenders |
| 580 - 669 | Fair | May have difficulty qualifying for a mortgage, even with below average interest rates |
| 300 - 579 | Very Poor | Likely to have difficulty qualifying for a mortgage, even with large down payments and very high-interest rates |
First Republic Loan Specifics
First Republic offers a standard variety of conventional mortgage products, including fixed- and adjustable-rate, interest-only, and second home loans.
While the bank does not provide any government-backed mortgages, it does feature a number of specialty programs, including an Eagle Community home loan and an “All-in-one Acquisition to Construction to Permanent” financing option.
First Republic only originates mortgages in a few of its service regions, with close to 92 percent of its total loans coming from California, New York, and Massachusetts.
Fixed-Rate Loans
This conventional mortgage type provides excellent stability for the full loan term, as interest rates and monthly payments are locked in during the origination period and do not change over time. Most lenders offer terms of 15 or 30 years, though some have more flexible options that allow for maximum customization.
This mortgage option is most popular with homebuyers that are planning to stay in one place for a long period of time and those looking for an easy-to-budget home loan. However, First Republic’s website does not specify its specific fixed-rate mortgage options.
Adjustable-Rate Loans
Borrowers that are unsure about their long-term plans may benefit from this variable mortgage option, as it offers a lower starting interest rate than fixed-rate loans. After an introductory period, usually, three, five, seven or 10 years, the interest rate and monthly payment amount will automatically adjust every year to the market index.
Poor market performance may cause interest rates to rise, which may force borrowers to pay more over the full life of their home loan. It is unclear from First Republic’s website the adjustable rates that it offers.
Hybrid Adjustable-Rate Mortgage
This mortgage features introductory fixed rates, but once that period is over, it shifts to a variable rate.
All-in-One Acquisition to Construction to Permanent Loans
This First Republic specialty mortgage program is aimed at borrowers that are planning to build their own home. The loan covers borrowers for the full length of the home building project, from the land purchase to the completion of the home and beyond.
This mortgage is available as either a fixed- or adjustable-rate loan with a range of term options and can help borrowers minimize transaction costs. Bundling these typically-separate loans into one is time-saving and financially sound as it eliminates duplicate transaction costs.
Vacation and Second Home Loans
Homebuyers looking to purchase or refinance a vacation home can benefit from this mortgage type, as it features an effortless and speedy pre-qualification process.
First Republic offers a wide variety of second home loan options with flexible repayment terms, including fixed-rate, adjustable-rate and hybrid adjustable-rate loans, which feature a fixed rate during the introductory period, after which it changes to a variable rate.
Eagle Community Loan Program
This loan program offers some of First Republic’s most competitive interest rates for borrowers looking to purchase or refinance a primary residence within one of the bank’s census tracts. This loan program provides conventional fixed-rate mortgages with no prepayment penalties.
Clients must apply for it in person at one of the bank’s physical branches.
First Republic Mortgage Customer Experience
First Republic Bank only originates home loans in California, Massachusetts, Connecticut, New York and Oregon, which significantly limits the scope of its mortgage services. Almost all of the bank’s physical branches are located in California, making it difficult for out-of-state borrowers to work with this lender on a face-to-face basis.
Additionally, First Republic’s lack of government-backed mortgages prevents borrowers with low credit scores and limited credit histories from qualifying for a home loan with low down payments.
While the bank does offer a number of specialty programs, none are dedicated to providing affordable lending solutions to low-to-moderate income buyers outside of certain designated census tracts.
Useful bank-specific information and mortgage resources are noticeably absent from First Republic’s website, which negatively impacts borrowers looking for an online lending experience. The website does not possess a prequalification feature, an online application process, or a rate quote or estimate tool.
The best way to contact First Republic is to reach out to one of its “Relationship Managers” by phone, or by filling out a webform and waiting to hear back from a lending agent.
One of the biggest drawbacks of First Republic’s website is the lack of concrete information about its mortgage products. The bank provides limited detail beyond a few broad summaries of each loan offer, making it difficult to get a complete picture of the advantages and disadvantages of its programs.
For example, First Republic does not list any relevant information about loan terms, down payment requirements, interest rate averages, or program eligibility. Homebuyers looking for a traditional banking experience may prefer this lender’s non-digital approach.
First Republic Lender Reputation
While First Republic’s limited digital presence leaves much to be desired, this lender has earned quite a positive reputation. The bank has been in operation for almost 34 years, during which it has been consistently recognized for its dedicated customer-focused approach to loan origination.
First Republic’s received the Better Business Bureau accreditation in 2016. Currently, First Republic’s BBB profile features an A+ rating with only 10 customer complaints filed over the past 3 years, all of which have been resolved.
In addition, between 2012 and 2018, First Republic received 15 lodged complaints on mortgages at the Consumer Financial Protection Bureau. All of them have been closed with an explanation.
- Information collected on March 1st, 2019
First Republic Mortgage Qualifications
| Credit Score | Credit Rating | Mortgage Rate Impact |
|---|---|---|
| 800 - 850 | Exceptional | Able to secure the best available interest rates from almost every lender |
| 740 - 799 | Very Good | Able to secure better than average interest rates from most lenders |
| 670 - 739 | Good | Able to secure average interest rates from most lenders |
| 580 - 669 | Fair | May have difficulty qualifying for a mortgage, even with below average interest rates |
| 300 - 579 | Very Poor | Likely to have difficulty qualifying for a mortgage, even with large down payments and very high-interest rates |
Every home loan type offered by First Republic features a number of unique eligibility guidelines, though precise details are unavailable through the bank’s website.To qualify for First Republic’s lending products, borrowers must first obtain a standard checking account with one of the bank’s physical branches.
Once an account is secured, homebuyers can begin working with a dedicated lending agent to find the best mortgage rates for their specific needs.
At present, there is no mention of concrete down payment minimums, credit score conditions, median income limits or debt-to-income requirements within any of the lender’s online resources.
Be that as it may, on its website, First Republic states that most lenders typically require that debt-to-income ratio of 28/36, which means that the house payment should not exceed 28% of a client’s before-tax monthly income from all sources and that no more than 36% of monthly income is used towards paying clients’ total monthly debt, including the mortgage payment.
However, First Republic does not explicitly declare this is their policy.
Most mortgage originators request down payments of at least 5% on conventional loans and often require homebuyers who put less than 20 percent down to pay for private mortgage insurance.
First Republic does not offer any government-backed loans, which typically feature low down payments, so borrowers should be prepared to make a large upfront payment to qualify. For more information about this lender’s down payment minimums, homebuyers should reach out to a lending agent directly or fill out an online contact form.
The credit score is an important metric for determining home loan eligibility and formulating interest rates, as low scores are usually a sign of poor credit management. Explicit credit score expectations are not provided on First Republic’s website, nor is it clear whether this lender considers non-traditional credit history.
Borrowers with credit scores higher than the industry average, which according to FICO stands at around 740, should not have difficulty qualifying for one of this bank’s mortgage products, though lower scores typically mean higher rates.
First Republic Phone Number & Additional Details
- Homepage URL: https://www.firstrepublic.com/
- Company Phone: 1-415-392-1400 or 1-800-392-4000
- Headquarters Address: 111 Pine Street, San Francisco, California 94111
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