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Costco Mortgage Review

Costco’s mortgage program offers member discounts and lets you compare rates from seven different lenders.

Daria Uhlig Daria Uhlig Edited by Chris Jennings

Our goal is to give you the tools and confidence you need to improve your finances. Although we receive compensation from our partner lenders, whom we will always identify, all opinions are our own. Credible Operations, Inc. NMLS # 1681276, is referred to here as "Credible."

You’re probably familiar with Costco warehouse stores, which offer bargain prices on products in many categories. But Costco also offers discounted home, health, and business services.

These services include purchase and refinance mortgage loans through The Mortgage Program for Costco Members. But Costco isn’t the lender. Rather, it provides a platform where you can compare loan rates and terms from their partner mortgage lenders.

As is the case with most of its warehouse products, Costco’s service offerings are only available to members.

So, if you need a mortgage and you’re already a member (or considering becoming one), find out if Costco’s mortgage program is right for you:

Costco mortgage overview

CostcoFinance.com is operated by CrossCountry Mortgage, which is also one of The Mortgage Program’s partners. Anyone can use the platform to compare home loans and find a lender, but lender-fee discounts are only available to Costco members. Executive Members won’t pay more than $350 in lender origination fees, and Gold Star Members won’t pay more than $650. Third-party fees are extra.

Costco mortgage reviews on Trustpilot are very positive. Total savings are one factor customers like because they could save money in two ways:

  1. Getting preferred rates from competing mortgage lenders
  2. By saving money on lender fees

Costco mortgage purchase review

Best for:

  • Costco members
  • Prospective Costco members who will save enough on their loans to justify the membership fee
  • Internet-savvy homebuyers

The types of mortgage loans available through Costco’s mortgage program include fixed- and adjustable-rate:

Once you enter your contact information and other details on The Mortgage Program’s homepage on CostcoFinance.com, you’ll be able to see a list of loans.

In addition to showing you mortgage rates and annual percentage rates, you’ll see:

  • Expected monthly payment
  • Origination fee
  • A star rating compiled from surveys of recent customers

If you find a lender you want to move forward with, you can select them and then request quotes. But keep in mind that quotes aren’t guaranteed.

Looking for rates in three minutes? Credible allows you to compare actual prequalified rates from multiple lenders — not just rate quotes — in just three minutes.

Credible makes getting a mortgage easy

  • Instant streamlined pre-approval: It only takes 3 minutes to see if you qualify for an instant streamlined pre-approval letter, without affecting your credit.
  • We keep your data private: Compare rates from multiple lenders without your data being sold or getting spammed.
  • A modern approach to mortgages: Complete your mortgage online with bank integrations and automatic updates. Talk to a loan officer only if you want to.

Find Rates Now

Trustpilot

Check Out: How to Get a Mortgage Pre-Approval

Costco mortgage refinancing review

Best for:

  • Homeowners looking for a cash-out refinance
  • Homeowners who could save money with a lower rate or shorter term
  • Homeowners with high-interest debt they’d like to consolidate

Costco’s lending partners offer standard mortgage refinance loans — conventional, jumbo, VA, and FHA — resulting in a new first mortgage. You can use these loans to reduce your interest rate, reduce or lengthen the term of your current loan, or switch into a fixed-rate or adjustable-rate loan.

What about other refinancing and equity options? If you’re considering a home equity loan or home equity line of credit, you might be disappointed to learn that Costco’s mortgage program doesn’t offer one. But it does offer cash-out refinance loans. Assuming you have enough equity, you can draw out cash when you refinance into a new first mortgage.

Find Out: Cash-Out Refinance: How It Works and When to Get One

Although Costco’s mortgage program isn’t one of our partners, you can still compare mortgage refinance rates on Credible from our partner lenders in the table below — and it only takes a few minutes.

Find Out: How to Refinance Your Mortgage in 6 Easy Steps

How Costco can improve

Most Costco home mortgage reviews on Trustpilot rave about the program’s value and the hassle-free experience the platform provides. But neutral and negative reviews center around some common issues.

So, here are some of the ways Costco can improve:

  • Improve search results: When we searched, the results that came back were not all the loans that meet the search criteria we entered. A complete list of qualifying loans is the reason members use the site, so we should see a complete list when searching.
  • Make loan information more clear: Although the Mortgage Program site addresses the issue of being caught off-guard by closing costs, some reviewers reported having trouble finding fee and loan servicing information. This could lead to unrealistic borrower expectations.

Compare multiple lenders first

The ability to compare multiple lenders is a mark in Costco’s favor, but the downside is that you’re essentially on your own once you’ve selected one.

Credible not only makes it easy to compare any of our partner lenders in the table below, but we’ll be with you every step of the way if you need help. You can do all your comparisons, plus your application and processing, without leaving our platform.

About the author
Daria Uhlig
Daria Uhlig

Daria Uhlig is a contributor to Credible who covers mortgage and real estate. Her work has appeared in publications like The Motley Fool, USA Today, MSN Money, CNBC, and Yahoo! Finance.

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