loanDepot vs Better
24.7% of loanDepot's 2025 loans were FHA loans, versus 13.2% nationally; 89.8% of Better's 2025 loans were conventional, averaging $305k.
The short answer
Lean toward loanDepot if…
- you want the lower typical price: on FHA 30-year fixed purchase loans, its borrowers' median APR ran 0.22 percentage points lower against the market benchmark (2025 HMDA).
- you're using an FHA loan — FHA was 24.7% of its 2025 loans versus 8.1%.
- you're using a VA loan — VA was 9.3% of its 2025 loans versus 2.2%.
- you're refinancing — refinances and cash-outs were 33.5% of its loans versus 19.7%.
- you're buying in West Virginia, where it lends at 8.4× the other's volume.
Lean toward Better if…
- you want lower upfront costs: its median total loan costs on those loans were about $917 lower.
Every point above comes from federal lending data, not from either lender. Your own rate depends on your credit, down payment and points, so get Loan Estimates from both on the same day.
loanDepot
Best for repeat refinancers
A large nonbank lender with a national retail footprint and a lifetime-guarantee refinance program for return customers.
91,730 loans in 2025 · avg $279,914
Full reviewBetter
Best for low lender fees
An online-only lender that advertises no lender origination or application fees and a fully digital process.
14,567 loans in 2025 · avg $305,040
Full reviewloanDepot vs Better: side by side
| loanDepot | Better | |
|---|---|---|
| Type | Nonbank lender | Nonbank lender |
| Headquarters | Irvine, CA | New York, NY |
| Best for | Repeat refinancers | Low lender fees |
| Loan types | Conventional · FHA · VA · Jumbo · Refi | Conventional · FHA · Jumbo · Refi |
| Loans originated (2025) | 91,730 | 14,567 |
| Total lending (2025) | $25.7B | $4.4B |
| Average loan | $279,914 | $305,040 |
| Approval rate* | 72.8% | 54.1% |
| Conventional share | 65.7% | 89.8% |
| FHA share | 24.7% | 8.1% |
| VA share | 9.3% | 2.2% |
| Purchase share | 44.1% | 41.6% |
| Refinance + cash-out share | 33.5% | 19.7% |
| Approval: conventional* | 75.5% | 54.2% |
| Approval: FHA* | 65.1% | 50.2% |
| Approval: VA* | 78.7% | 68.3% |
| Second-lien / home-equity share | 26.4% | 40.5% |
| Manufactured homes share | 1.6% | 0.5% |
Source: 2025 HMDA data (FFIEC/CFPB). *Approval = originated ÷ (originated + denied); it mirrors each lender's channel and borrower mix, not how hard it is to qualify — see our approval breakdown.
What their borrowers actually paid
Medians from 2025 HMDA loan-level records for 30-year fixed home purchases, compared like for like. "Vs benchmark" is the APR minus the average prime offer rate for the week each rate was locked, so loans locked in different weeks compare fairly.
| Loan type | loanDepot | Better | All lenders |
|---|---|---|---|
| Conventional | 6.50% · −0.05 vs benchmark · $6,137 costs (8,018 loans) | 6.50% · −0.01 vs benchmark · $5,588 costs (1,675 loans) | 6.50% · +0.02 · $5,476 |
| Jumbo | 6.625% · 0.00 vs benchmark · $9,524 costs (277 loans) | 6.50% · −0.13 vs benchmark · $10,329 costs (113 loans) | 6.625% · +0.00 · $10,251 |
| FHA | 5.99% · +0.21 vs benchmark · $12,225 costs (11,295 loans) | 6.25% · +0.43 vs benchmark · $11,308 costs (887 loans) | 6.25% · +0.42 · $11,291 |
| VA | 5.75% · −0.67 vs benchmark · $9,781 costs (3,628 loans) | 6.375% · −0.04 vs benchmark · $8,894 costs (257 loans) | 6.125% · −0.36 · $6,554 |
Source: 2025 HMDA loan-level data (FFIEC/CFPB), first-lien 30-year fixed purchases; costs are the borrower-paid total loan costs. Rates have moved since 2025: use these to compare the two lenders, not as today's quote — see average mortgage rates.
loanDepot or Better: which fits your loan
Which of the two writes more of each loan type, from 2025 originations.
| Your situation | Does more of these | Evidence (share of loans) |
|---|---|---|
| Buying with an FHA loan | loanDepot | 24.7% vs 8.1% of loans (U.S. 13.2%) |
| Using a VA loan | loanDepot | 9.3% vs 2.2% of loans (U.S. 8.2%) |
| Buying a home (purchase) | No clear edge | 44.1% vs 41.6% of loans (U.S. 52.5%) |
| Refinancing to a lower rate | No clear edge | 8.3% vs 9.4% of loans (U.S. 15.3%) |
| Cash-out refinance | loanDepot | 25.2% vs 10.3% of loans (U.S. 14%) |
| Large or jumbo loan | No clear edge | avg loan $280k vs $305k |
Where each one is bigger
loanDepot reported more 2025 HMDA activity than Better in 50 of 51 states, and Better led in 1. loanDepot's strongest relative edge is West Virginia (8.4× the other's volume).
| State | loanDepot | Better | Bigger here |
|---|---|---|---|
| California | 16,655 | 5,364 | loanDepot |
| Texas | 14,675 | 3,382 | loanDepot |
| Florida | 13,216 | 3,866 | loanDepot |
| Georgia | 7,342 | 2,247 | loanDepot |
| North Carolina | 6,876 | 2,049 | loanDepot |
| Illinois | 7,030 | 1,656 | loanDepot |
| New Jersey | 6,495 | 2,028 | loanDepot |
| Arizona | 6,182 | 1,191 | loanDepot |
The eight states where the two together are most active. HMDA records include applications and loans reported for 2025.
Approval by loan type
The widest gap is on conventional applications: loanDepot approved 75.5% of decisioned conventional applications in 2025 and Better 54.2%. Their books also differ on home equity: second-lien loans were 26.4% of loanDepot's originations and 40.5% of Better's.
Who each lender is for, and not for
loanDepot
Good fit: loanDepot suits borrowers who want a largely digital application with the option of a human loan officer, and who value the Lifetime Guarantee if they expect to refinance with the same lender down the road.
Think twice if: A data breach affected nearly 17 million people; in 2025 a court approved a class settlement with $25 million plus financial monitoring and security upgrades.
Better
Good fit: Better fits a tech-comfortable, financially straightforward borrower who wants to move fast and avoid lender fees.
Think twice if: Better operates through a digital platform, and its 10-K lists only corporate offices, with no branch network for in-person help.
From our independent reviews of loanDepot and Better.
How to check loanDepot and Better before you choose
- Get both Loan Estimates the same day, with the same lock period and points, and compare section A (origination charges) and the APR.
- Check experience where they differ most: FHA loans. They were 24.7% of loanDepot's 2025 lending but 8.1% of Better's. If that is your loan, ask Better's loan officer how many they closed last year.
Benchmark both quotes against average mortgage rates and run the payment in the mortgage calculator.
loanDepot vs Better: FAQ
Is loanDepot or Better better for an FHA loan?
loanDepot does far more FHA lending: 24.7% of its 2025 loans were FHA, versus 8.1% at Better. More FHA volume means more experience with FHA appraisals and mortgage insurance, but your rate still depends on the quote, so compare Loan Estimates.
Where does loanDepot lend more than Better?
loanDepot reported more 2025 HMDA activity than Better in 50 of 51 states, and Better led in 1. loanDepot's biggest relative edge is in West Virginia.
Which is better for refinancing, loanDepot or Better?
loanDepot is the more refinance-focused lender: refinances and cash-out refinances were 33.5% of loanDepot's 2025 loans and 19.7% of Better's.
Independent comparison from public federal data; no lender paid for placement. Not personalized advice.
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