Bank of America mortgage review: rates, costs & calculator
A major national bank whose Preferred Rewards members can earn interest-rate or closing-cost reductions.
Bank of America mortgage rates: what borrowers actually paid
Bank of America prices each borrower individually, but federal loan-level records show what its borrowers actually got. On 6,488 conventional 30-year fixed purchase loans with at least 20% down closed in 2025, the median rate was 6.25% and the median APR was 0.30 percentage points below the typical lender's, with $4,758 in loan costs.
| 2025 home purchases | Loans | Median rate | APR vs benchmark | Loan costs | With points |
|---|---|---|---|---|---|
| Conventional · Bank of America | 6,488 | 6.25% | −0.28 | $4,758 | 65% |
| Conventional · all lenders | 700,082 | 6.50% | +0.02 | $5,476 | 53% |
| FHA · Bank of America | 347 | 6.125% | +0.27 | $8,758 | 86% |
| FHA · all lenders | 516,729 | 6.25% | +0.42 | $11,291 | 59% |
| Jumbo · Bank of America | 1,173 | 6.00% | −0.68 | $8,259 | 29% |
| Jumbo · all lenders | 30,788 | 6.625% | +0.00 | $10,251 | 38% |
What the numbers say
- On conventional loans, Bank of America's median APR ran 0.30 percentage points below the typical lender's (−0.28 vs +0.02 percentage points against the benchmark) — roughly $66 a month on a $325,000 loan at today's 7.18% average rate.
- Other loan types: FHA 0.14 percentage points below the market (347 loans); Jumbo 0.69 percentage points below the market (1,173 loans).
- Borrowers paid a median $4,758 in loan costs — $718 less than the $5,476 typical across all lenders.
- 65% of its loans carried discount points, versus 53% overall — ask for quotes with and without points.
How Bank of America compares on conventional loans
| Lender | Loans | Median rate | APR vs benchmark | Loan costs | Lender credits |
|---|---|---|---|---|---|
| Bank of America | 6,488 | 6.25% | −0.28 | $4,758 | 40% |
| Chase | 20,595 | 6.49% | −0.13 | $4,695 | 28% |
| Wells Fargo | 8,331 | 6.375% | −0.18 | $5,267 | 80% |
| U.S. Bank | 8,383 | 6.49% | −0.09 | $4,634 | 88% |
| Truist | 3,590 | 6.40% | −0.17 | $4,827 | 61% |
| All lenders | 700,082 | 6.50% | +0.02 | $5,476 | 33% |
Source: 2025 HMDA loan-level records (FFIEC/CFPB), 30-year fixed home purchases compared like for like. APR vs benchmark = median APR minus the average prime offer rate the week the rate was set; loan costs are borrower-paid. Data notes and limits.
Bank of America mortgage calculator
Estimate a Bank of America payment: enter the rate from your Loan Estimate, or start from today's 7.18% average 30-year fixed rate. For reference, Bank of America's 2025 conventional purchase loans closed at a median 6.25%. BofA Rewards Premier clients ($1 million or more in combined balances) can take 0.375% off the rate with PayPlan autopay — enter the reduced rate to see the payment.
Prefer a full-page version? Open the mortgage calculator.
Bank of America by the numbers
| Home loans originated (2025) | 88,530 |
|---|---|
| Total lending (2025) | $37.3B |
| Average loan size | $421,196 |
| Approval rate* | 54.8% |
| Volume rank (our roster) | #7 of 60 |
| Largest market | California |
Source: federal HMDA data (2025), FFIEC/CFPB. *Approval rate = loans originated ÷ (originated + denied). It reflects a lender's channel and borrower mix — wholesale, online and refi-heavy lenders run lower because many applications are rate shops that never close — not how hard it is to work with. See our approval-rate breakdown.
What Bank of America actually lends
99.5% of Bank of America's 2025 loans were conventional, averaging $421k. Bank of America lists FHA and VA loans, but they were under 2% of its 2025 originations — if you need one, ask how many the loan officer closes.
| Share of 2025 loans | Bank of America | U.S. |
|---|---|---|
| Conventional | 99.5% | 78% |
| FHA | 0.4% | 13.2% |
| VA | 0.1% | 8.2% |
| USDA | 0% | 0.6% |
| Home purchase | 30.3% | 52.5% |
| Rate-and-term refinance | 20.5% | 15.3% |
| Cash-out refinance | 2.2% | 14% |
Shares of originated loans by loan type and purpose, federal HMDA data (2025). They describe the lender's business mix, not the terms you would be offered.
Bank of America at a glance
Bank of America is one of the country's largest retail banks, headquartered in Charlotte, North Carolina, and its home-lending arm sits inside that broader banking relationship rather than operating as a standalone mortgage shop.
Borrowers apply online, by phone with a loan officer, or through a financial center, and the pitch is largely built around depth of relationship: if your checking, savings, or investment accounts already live at the bank, the mortgage is designed to plug into that ecosystem.
In 2025 the bank originated 88,530 mortgages worth roughly $37.3 billion, with an average loan size near $421,000 — a figure that skews higher than many lenders and reflects a customer base concentrated in expensive coastal markets.
California alone accounted for more than 41,000 of those loans, followed by Florida, Texas, New Jersey, and its home state of North Carolina.
Where Bank of America's approval rate sits
Bank of America's 2025 approval rate of 54.8% sits against the 76.6% national average. Read it as a signal of channel, not strictness — wholesale, online and refinance-heavy lenders run lower because so many applications are rate shops that never close.
The reported 54.8% approval rate is on the lower side, but that largely mirrors a big-bank application mix: a wide funnel of inquiries, relationship-driven pricing, and a book weighted toward jumbo and higher-balance borrowers, rather than an unusually strict underwriting posture.
The relationship angle sharpened in May 2026, when Bank of America folded its long-running Preferred Rewards program into a rebranded BofA Rewards structure.
Qualifying deposit and investment balances still unlock tiered perks, and at the top Premier tier borrowers can pair automatic payments with an eligible deposit account to reach an interest-rate reduction of up to 0.375% on a new purchase or refinance mortgage.
Who Bank of America is best for
Bank of America suits existing customers who already keep meaningful deposit or investment balances there and want to convert that relationship into a lower rate or reduced closing costs.
It also fits low- and moderate-income and first-time buyers in eligible areas who can stack the bank's grant programs, plus higher-balance borrowers in coastal markets comfortable working with a large national institution.
Loan programs at Bank of America
Its most notable programs and specialties:
- Affordable Loan Solution mortgage — as little as 3% down (mortgage insurance required; income and loan limits vary by location), aimed at low- to moderate-income and first-time buyers
- Down Payment Grant — up to $10,000 or 3% of the purchase price (whichever is less) in eligible markets, part of the Community Homeownership Commitment
- America's Home Grant — up to $7,500 toward non-recurring closing costs or a permanent rate buydown
- Conventional fixed- and adjustable-rate mortgages, plus jumbo financing for higher-balance purchases
- FHA and VA government-backed loans
- BofA Rewards relationship pricing — up to a 0.375% rate reduction at the Premier tier with autopay from an eligible deposit account
Typical industry minimum down payment by core loan type — Bank of America's own minimums or credit overlays may run higher:
| Loan program | Typical min. down |
|---|---|
| Conventional | 3% |
| FHA | 3.5% |
| VA | 0% |
| Jumbo | 10–20% |
BofA Rewards: mortgage and HELOC discounts by tier
Bank of America ties its relationship perks to the combined average balance in qualifying Bank of America deposit and Merrill investment accounts. Only the Premier tier lists a mortgage rate reduction; the lower tiers get a smaller origination fee instead.
| Tier | Combined balances | Mortgage benefit | HELOC rate discount |
|---|---|---|---|
| Member | No minimum | $100 off the origination fee | — |
| Preferred Plus | $30,000+ | $300 off the origination fee | up to 0.25% |
| Preferred Honors | $100,000+ | $600 off the origination fee | up to 0.375% |
| Premier | $1,000,000+ | 0.375% off the rate with PayPlan autopay (0.125% without; PayPlan isn’t available on FHA or VA loans) | up to 0.625% |
Down Payment Grant, America’s Home Grant and 3% down
The Down Payment Grant covers up to 3% of the purchase price, capped at $10,000, for first-time buyers (no homeownership in the past three years) in select markets; it doesn’t have to be repaid and isn’t available with every mortgage product.
America’s Home Grant is a lender credit of up to $7,500 for non-recurring closing costs such as title insurance and recording fees, or to permanently buy down the rate. Bank of America’s Affordable Loan Solution mortgage allows 3% down; mortgage insurance is required and income and loan-amount limits apply by location.
Bank of America HELOC: fees and discounts
Bank of America’s home equity line has no application fee, no annual fee and no closing costs on lines up to $1,000,000. It generally lends up to 85% of the home’s value minus the mortgage balance, with a 660 minimum credit score and at least 15% equity. The draw period is usually 10 years, followed by a repayment period of typically 20 years.
- 0.125% off the rate with automatic payments from a Bank of America account
- 0.10% off for each $10,000 drawn at opening, up to 1.50% (the balance must stay for the first three billing cycles)
- BofA Rewards discount of up to 0.625%, by tier
- Convert $5,000 or more of the balance to a fixed rate, with no conversion fee
Program terms from Bank of America's own pages, checked October 18, 2026: Merrill — BofA Rewards tiers and benefits; Bank of America — home equity line of credit; Bank of America — down payment grants and programs; Bank of America — Affordable Loan Solution. Terms change without notice — confirm with the lender.
Strengths
- Grant programs (up to $10,000 down payment plus up to $7,500 in closing-cost help) can meaningfully cut cash-to-close for eligible buyers
- Relationship discounts reward existing deposit and investment customers with lower rates or fees
- Full-service national bank with online, phone, and in-branch options in one place
- The 3%-down Affordable Loan Solution gives budget-constrained first-time buyers a low-down-payment option
- Long-running Community Homeownership Commitment with a documented track record of affordable lending
Considerations
- The biggest BofA Rewards mortgage perks need large balances: $600 off the origination fee at $100,000+ and a rate discount only at $1 million+; smaller tiers get $100 or $300 off.
- Grant eligibility is tied to specific income limits and geographic areas, and not every applicant will qualify
- In May 2026 Preferred Rewards became BofA Rewards with new tier names (Member, Preferred Plus, Preferred Honors, Premier); your mortgage perk is set by your tier when you apply.
- Its 2025 approval rate was 54.8%, versus 76.6% for all lenders (53rd of the 60 lenders we review)
Where Bank of America lends most
By federal HMDA records, Bank of America's largest 2025 markets were California, Florida, Texas, New Jersey and North Carolina. Explore local rates, home prices and down-payment assistance for each:
States where Bank of America is a top-15 lender
Ranked by home loans originated in 2025 (HMDA). Each state page compares Bank of America with the other leading lenders there, including FHA and VA leaders and what their borrowers paid.
The verdict
Bank of America is a strong option when the mortgage is one piece of a broader banking relationship — the deeper your balances, the more the BofA Rewards discounts pay off.
Its grant programs also make it genuinely competitive for eligible lower-income and first-time buyers. Borrowers without an existing relationship or grant eligibility should still compare its rate and fee quote against dedicated lenders before deciding.
How to compare Bank of America
Shopping a few lenders is the single most reliable way to save. Before you commit to Bank of America:
- Get three or more Loan Estimates in a two-week window — the bureaus treat it as one inquiry.
- Compare the APR, not just the headline rate — it folds in the fees.
- Weigh service and loan-type fit, not price alone.
- Verify licensing: search Bank of America on NMLS Consumer Access and match the NMLS ID to the one on your Loan Estimate. (Its LEI in federal HMDA data, B4TYDEB6GKMZO031MB27, is not a license number.)
Benchmark whatever you're quoted against today's the national rate benchmark.
Bank of America FAQ
Is Bank of America a good mortgage lender?
Bank of America is a licensed U.S. mortgage lender and one of the largest, roughly #7 of 60 in our roster by 2025 volume, best for relationship discounts.
On price, its 2025 conventional borrowers' median APR was 0.30 percentage points below the typical lender's, with $4,758 in loan costs against $5,476 market-wide.
Whether it's right for you comes down to the rate and fees it quotes — compare its Loan Estimate with two or three others.
What are Bank of America's mortgage rates today?
Bank of America sets rates daily by loan type, credit score, down payment and points, so the rate that counts is the one on your Loan Estimate.
For context, the average 30-year fixed rate was 7.18% in Freddie Mac's survey for the week of November 5, 2026; in 2025, Bank of America's conventional purchase loans closed at a median 6.25%, against 6.50% for all lenders.
How many mortgages does Bank of America originate?
In 2025, Bank of America originated about 88,530 home loans, roughly $37.3 billion in lending, per federal HMDA data — an average loan of about $421,196.
What loan types does Bank of America offer?
Bank of America offers Conventional, FHA, VA, Jumbo. Notable programs include Affordable Loan Solution mortgage — as little as 3% down (mortgage insurance required; income and loan limits vary by location), aimed at low- to moderate-income and first-time buyers; down Payment Grant — up to $10,000 or 3% of the purchase price (whichever is less) in eligible markets, part of the Community Homeownership Commitment; America's Home Grant — up to $7,500 toward non-recurring closing costs or a permanent rate buydown.
What credit score do you need for a Bank of America HELOC?
Bank of America lists a minimum credit score of 660 and at least 15% equity for its HELOC; it generally lends up to 85% of the home’s value minus what you owe, and its fine print notes that even applicants who meet those limits may receive a counteroffer.
Does Bank of America charge closing costs on a HELOC?
Not on lines up to $1,000,000 — Bank of America advertises no application fee, no closing costs and no annual fee on its HELOC.
Discounts for autopay (0.125%), drawing at opening (up to 1.50%) and BofA Rewards (up to 0.625%) can lower the variable rate.
How much is the BofA Rewards mortgage discount?
Only Premier clients — $1,000,000 or more in combined Bank of America and Merrill balances — get a rate reduction: 0.375% with PayPlan autopay, or 0.125% without it (PayPlan isn’t available on FHA or VA loans).
Member, Preferred Plus and Preferred Honors clients get $100, $300 or $600 off the origination fee instead.
How do I verify Bank of America is licensed?
Search the company's name on NMLS Consumer Access (nmlsconsumeraccess.org), the official registry of licensed mortgage companies and loan officers; the NMLS ID it shows is also printed on every Loan Estimate the lender issues. (The ID B4TYDEB6GKMZO031MB27 used on this page is the company's LEI, which identifies it in federal HMDA data — not a license number.)
This review is editorial and independent — Bank of America did not pay for or approve it, and all figures are from public federal data. It is general information, not a recommendation or personalized advice. Confirm all terms directly with the lender.
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