Magnolia Bank is an independent community bank established in 1919 and headquartered in Kentucky. These days, Magnolia Bank’s mortgage division issues more than $1 billion in home loans each year to borrowers in all 50 states. The bank offers a full range of conforming and government-backed loans, all backed by personalized service.
Magnolia Bank has grown into a major mortgage lender while retaining the feel of a community bank. It has 21 branches in eight states where customers can apply directly for a loan. Most of these locations are in the Midwest with others in California, Florida, and Connecticut. Applications can also be made online or over the phone, or using a combination of all three.
Although Magnolia Bank’s website looks a little outdated, it does all the same things other online lenders do. Prospective borrowers can ask for a prequalified rate quote from one of the bank’s professional loan officers and then complete an application on the Magnolia Bank online portal.
The online loan application covers the following sections:
- Loan details
- Personal information
- Expenses
- Assets
- Employment and income
- Liabilities
- Additional details
- E-Consent
- Declarations
- Summary
Pros
Personalized, customer-focused service
Broad selection of loan types
FHA, VA, and USDA loans
Cons
Website a little outdated
Lack of info on website
Magnolia Bank’s greatest strength is the fact it is a community-oriented bank. It was established in the small Kentucky town of Magnolia (hence the name) in 1919 and has somehow retained its small bank feel despite being one of the nation’s largest mortgage originators. These days, it offers a full suite of mortgage loan types, from conventional to government-backed FHA and VA loans to jumbo loans.
While Magnolia Bank allows borrowers to apply online, the website is a little slow, outdated, and lacking in information about Magnolia’s products. Many borrowers find it easiest to start the process by contacting Magnolia’s professional loan officers (either in branch, where possible, or by phone) and then continue the process on the digital platform.
For a community bank, Magnolia Bank is a major player when it comes to home loans. It offers a large suite of conventional and government-backed loan types, mostly with a choice between fixed or adjustable rates. Loans can be used for purchasing a new home or refinancing an existing mortgage.
Here’s the full breakdown of loan types:
- Conforming: Regular loan with 20% down payment
- Jumbo: For loans above $500,000 (or more, depending on borrower’s location)
- FHA loan: For borrowers with less than 620 credit, with down payment of 3.5-10%
- VA loan: For qualifying service people and veterans, with option of 0% down payment
- USDA loans: For homes in rural areas as defined by the U.S. Department of Agriculture
- Reverse mortgage: Lets homeowners aged 62+ convert the equity in their home to cash
Magnolia Bank’s specialty is personalized customer service from a team of professional loan officers. Aside from that, we’re sorry to say Magnolia doesn’t offer any particularly unique loan features. It does offer some free tools such as mortgage calculators to help you understand your loan. However, we couldn’t find any features in Magnolia’s service that make it genuinely stand out from its competitors.
Unfortunately, Magnolia Bank doesn’t offer much information about its rates or terms. From what we can gather, its interest rates are competitive. When you apply to Magnolia Bank, your APR is determined by the usual factors such as your personal credit score, loan amount, and debt-to-income ratio.
Magnolia Bank has 21 physical locations in eight states where borrowers can go and call up to speak to a loan agent. These states are: Kentucky (10 branches), Ohio (three branches), California, Kansas (two branches each), Connecticut, Florida, Indiana, and Missouri (one each). Magnolia accepts applications from borrowers in all 50 states. To get started, request a quote through the Magnolia mortgage website or call the head office at 270-324-3226
There aren’t too many independent community banks with the sort of national reach Magnolia Bank has. This bank has stayed true to its small-town Kentucky roots while managing to offer home loans nationwide. Magnolia Bank is all about providing the type of friendly, personalized service that often gets overlooked by the big bank mortgage lenders.