Tomo Summary

Tomo at a Glance

Overview

Tomo is a relatively new lender that currently operates in 23 states. It offers several advanced features to streamline the mortgage process, so that it can lower fees and ensure you secure the best deal for your situation. These features include digital synching of your financial accounts, a 120-day rate lock (to protect you from rising market rates), and a price match guarantee against competitors’ offers.

Eligible customers can also get appraisal coverage. This means if the appraised value comes back lower than the agreed-upon price with the seller, you won’t have to bring more cash to the closing table. Tomo will guarantee buyers receive the full mortgage amount needed.  Check with them for eligibility.

What’s more, Tomo doesn’t charge origination, processing, or any other lender fees. In fact, the company claims to save buyers an average of $2,000 at closing. It also has an offer that allows you to save $750 on your closing costs if you work with one of its affiliated real estate agents to look for and buy a home.

Suitable For?

Tomo is suitable for buyers who appreciate the speed and convenience of a digital-first mortgage process and want to get a competitive price on their mortgage.

The platform lets you complete the application process entirely online. Additionally, with just a few clicks, you can digitally link your financial accounts to Tomo’s system to verify your assets, income, and even employment. This enables rapid pre-approval, often within minutes, which is a huge advantage in competitive housing markets where a fast offer could be the difference between landing your dream home or missing out on it. 

Type of Loans/Products

Tomo focuses exclusively on home purchase loans, offering the following options: 

• Conventional loans
• Jumbo loans
• Veteran Affairs (VA) loans
• Federal Housing Administration (FHA) loans

You can use these loans to finance various types of property, including single-family houses, condos, manufactured homes, townhouses, and 2–4-unit buildings. Loans are available for primary residences, second homes, and even investment properties. Tomo doesn’t offer loans for construction-only, mobile homes, and co-ops, however.  

• Minimum credit score: 580
• Down payment: Varies by loan type, property type, intended property use, and credit score. 
• Loan terms: Available in 15- and 30-year fixed-rate terms and 5-, 7-, and 10-year adjustable-rate terms.
• Eligibility: US citizens and permanent residents in the states where Tomo operates.

The Application Process

You can apply for a Tomo mortgage online in a few simple steps.

• Get an underwritten pre-approval: Start by providing basic information about yourself and the home you’re looking to buy. Next, securely connect your bank and other financial accounts with Tomo so it can verify your income and assets. If everything checks out, Tomo will issue you a pre-approval letter—sometimes instantly or within a few minutes. Once pre-approved, you can confidently make offers on homes whose prices are within the pre-approved amount.
• Application submission: After your offer on a home is accepted, return to Tomo and submit a formal mortgage application. Loan advisors are available to help you choose the best loan type for your situation and guide you through the entire process. 
• Underwriting: Tomo's underwriting team will review your application to determine your eligibility and loan terms. 
• Final approval and closing. Once underwriting is complete, you’ll receive final loan approval. Tomo will coordinate with you to set a closing date, on which you'll sign all the necessary paperwork and finalize the transaction. Tomo says it closes 98% of its loans on time, which is significantly higher than the industry average of 40%.  

Rates and Terms

Fixed-rate mortgages from Tomo are available in 15-year or 30-year terms, while adjustable-rate mortgages are available in 5-, 7- and 10-year terms.

As with any other lender, your rate will depend on various factors, including the property type, occupancy (e.g. primary or secondary residence), location, and loan amount, as well as your credit score. 

However, Tomo provides a tool on its website where you can enter basic information such as the type of property, location, purchase price, down payment, credit score, and annual income to get an estimate of your annualized percentage rate (APR) and monthly payments. 

According to Tomo, buyers can be confident they are getting a great deal by opting for its services. The company backs this claim by offering a price-match guarantee. If you find a lower mortgage rate from another lender, Tomo will match it. All you need to do is provide a valid Loan Estimate document from the competing lender dated within one business day. Keep in mind that this offer is restricted to primary residences, and you can only use it once per loan.

Tomo also allows you to lock in a rate for up to 120 days before you find your dream home. This protects you from rising interest rates as you house hunt. And even if rates go down, you’re still protected—the company offers a one-time option to adjust your rate after a seller accepts your offer.

Help and Support

Tomo provides customer support via multiple channels. You can reach out via text, email, and phone call Monday through Friday, 8am-8pm, Saturdays 9am-3pm, and Sundays 11am-5pm, CT. 

The company’s website also features numerous tools and resources to help you in your home-buying journey. This includes FAQs that cover common questions about Tomo services, an affordability calculator to help you find out how much home you can realistically afford, and a comprehensive home-buying guide that explains the essential steps of buying a home. 

Phone: 737-510-2523

Email: mortgageteam@tomomortgage.com

Summary 

If you’re looking for a mortgage lender that prioritizes speed, convenience, and low-cost, Tomo is worth considering. 

Digital synching of your financial accounts reduces the need for paperwork and enables rapid pre-approval. This provides a competitive edge in the market by allowing you to act swiftly when the right opportunity arises. Meanwhile, the absence of lender fees, a 120-day rate lock, and a price-match guarantee on competitors’ offers ensure you always get a great deal. 

FAQs

What states does Tomo operate in?

Tomo’s offers services in the following 23 states: California, New Jersey, Colorado, Connecticut, Florida, District of Columbia, Georgia, Maryland, Idaho, Illinois, Oregon, Michigan, Minnesota, Ohio, North Carolina, Washington, Pennsylvania, Tennessee, Texas, Virginia, Wisconsin, Arizona, and South Carolina

What types of loans does Tomo offer?

Tomo provides conventional, FHA, VA, and jumbo loans. These loans are available with 15- and 30-year fixed-rate terms as well as 5-, 7-, and 10-year adjustable-rate terms.

What is Tomo’s minimum down payment?

The minimum down payment depends on the type of loan, property type, planned use of property, and your credit score. VA loans start as low as 0%, while conventional and FHA loans start at 3% and 3.5% down payment, respectively. 

Is there a minimum credit score requirement?

Tomo’s mortgages require a minimum credit score of 580. 

Physical Address 

2200 Atlantic Street, 5th Floor, Stamford, CT 06902

Methodology

This review was completed using information gathered from Tomo’s website.