Figure Home Loan Review [2024]: Refinance Online in Just Minutes

Whether you’re just beginning your search or narrowing things down, this Figure Loan review provides a comparison of the best mortgage lenders, providing the insights you need to make an informed decision. Figure is a new lender that offers consumers alternatives for borrowing money, whether it’s for paying off debt or consolidating existing loans.

You may have never heard of Figure, but that doesn’t make the company any less viable of an option. This review will help you figure out how to get a loan with Figure and whether it is best suited to meet your needs.

An overview of Figure

Figure is a San Francisco-based financial technology startup that provides home equity lines of credit (HELOCs) in 41 states, as well as mortgage refinancing options in 32 states.¹

Founded in 2018 by Mike Cagney, the former CEO and founder of the financial services company SoFi, Figure uses blockchain technology and artificial intelligence to offer a fully digital process that can get you money in as little as five days.² This is significantly less than the four to six weeks it usually takes with many traditional lenders.

While Figure Home Equity Line is the company’s flagship product, it also provides mortgage refinancing options with plans to add a personal loan option at some point in the near future.

Which loan products does Figure offer?

Figure offers two different loan types: Figure Home Equity Line (HELOC) and Figure Mortgage Refinance. We'll look at them each in more detail.

Home Equity Line (HELOC) at Figure

A HELOC is a popular way for many people to fund home improvement projects by using the value of their home itself. The company’s flagship product, Figure Home Equity Line, delivers consumers a faster and simpler way to tap into their home’s value with a fully digital application and funding process. This takes a process that is normally paperwork-intensive and often drawn out for weeks and transforms it into one that delivers an approval in just five minutes, with funding following in as little as five days.

Borrowers can get a fixed-rate HELOC between $15,000 and $250,000 with a maximum combined loan-to-value ratio (CLTV) of up to 100% for qualified applicants selecting a 5-year term and up to 85% for qualified applicants on all other term options. The CLTV is the ratio of all secured loans on a property compared to the value of a property. The secured loans could include the original loan amount of the first mortgage, the drawn portion of other HELOCs, the unpaid balance of a second mortgage, etc.

The CLTV ratio is used by lenders to determine a homeowner’s risk of default. Most lenders set this CLTV limit at 80%, so a maximum CLTV of 85% gives you more borrowing flexibility as it doesn’t require your home to have as much value. In other words, if you want a loan of $200,000, the value of your home has to be $235,294 to be within 85%. A CLTV of 80% would require your property to be valued at $250,000.

Interest rates with Figure range from 6.55% - 15.95% (as of Oct. 29, 2024) APR if you use autopay, with repayment terms of 5, 10, 15, and 30 years.⁴ Besides the one-time origination fee (which will be between 1.50%-4.99% of the loan value depending on where you live), there are no application or on-going maintenance fees. To appraise the value of your home, Figure uses an automated system, which means there are no appraisal fees either.

Depending on your loan term, you can make additional requests for money (known as draws) on your home’s equity as you repay the initial borrowed amount for up to two to five years from the date your HELOC was originated. These draws can be up to 20% of your total credit limit. Eligible properties include single-family residences, townhouses, and condominiums.

Figure also allows you to check your interest rate before committing with a quick pre-qualification. Figure does a soft credit check for this, and it won’t have any effect on your credit score.⁵

Loan amount	$15,000- $250,000
Loan term	5, 10, 15, and 30 years
APR	6.55% - 15.95% (as of Oct. 29, 2024) APR4
Credit needed	Minimum credit score of 620 (720 for Oklahoma)

Mortgage Refinance at Figure

Figure’s Mortgage Refinance process, like the company’s HELOC, is fully online, so no trips to the bank or title company are needed. It takes just minutes to apply and a minimum of 10 days to close. 

Figure provides an option to cash out as well. This allows you to replace your existing mortgage with a new one for an amount that’s greater than what you currently owe. The difference between the new, higher mortgage and the amount you currently owe is then made available to you in cash. By converting home equity into cash, you can put the difference toward things like paying off high-interest debt or fixing up your home.

You can receive a quote online without any effect on your credit score so you can compare Figure with other mortgage refinancing options to ensure you’re getting the best rate. You can borrow up to 80% of your home’s value, up to $2,000,000. If you opt for a cash-out, you can borrow up to 75% of your home's value, up to $500,000, but this will depend on your situation. Eligible properties include single-family homes.

Loan amount	Up to 80% of your home’s value, up to $2,000,000
Loan term	15 and 30 years
APR	Fixed-rate, depending on credit score6
Credit needed	Minimum credit score of 620 (or 660 for jumbo loans)
Cash-out amount	Up to 75% of your home's value, up to $500,000

The pros and cons of Figure loans

When you choose a Figure Home Equity Line, you get a handful of benefits you might not receive with other lenders. This includes a fully-online, streamlined loan application process, fast approval, funding in 5 days, competitive fixed rates, and full transparency — no hidden fees. There are very few fees at all actually. Aside from the origination fee, there are no application, appraisal, or ongoing maintenance fees. There may be other less-common fees that are dependent on your location and situation.

But while a fixed rate can mean you won’t be subject to higher interest if rates increase, it also means you won’t benefit from lower interest if rates decrease. Also, if you prefer working face-to-face with your lender, you may find Figure’s fully digital process to be unfavorable.

Additionally, not all properties are eligible. You can’t qualify for a HELOC on co-ops, commercially zoned real estate, multifamily real estate, manufactured housing, earth or dome homes, timeshares, log homes, houseboats, or mixed-use properties.

What Figure customers are saying

While Figure isn’t accredited by the BBB, there are a handful of reviews for the company on the BBB website. Many of the negative reviews have to do with the company’s marketing campaigns, and the fact Figure requires you to link your bank account to transfer funds, with many feeling uneasy about turning over this sort of information. On the other hand, the positive reviews on the site applaud the company's simple online process.

If you look elsewhere, Figure is consistently rated very highly. Reviews on Trustpilot, for instance, give Figure a 4.7-star rating, with 90% of reviews giving the company an “Excellent” rating (as of July 18, 2021). Customers are impressed by the quick turnaround time for receiving funds, how streamlined the entire process is, and how professional Figure employees are. If you look at the negative reviews, most complaints are from those who have been denied. This, of course, has much to do with an applicant’s personal financial situation and the reasons for denial can vary from person to person.

How to apply for a Figure loan

If you want to apply for a Figure mortgage refinance or apply for a Figure HELOC, you'll be happy to hear that Figure’s application process is 100% online, so there’s usually no need for visiting banks or title companies in person. Figure uses an eNotary to verify your identity and you will also be able to sign your documents with an e-signature. Depending on where you live, though, you may need to have your documents signed by an in-person notary, as some counties don’t accept an eNotary.

If you are ready to apply for a Figure loan, make sure you have your personal information on hand. This includes your driver's license and date of birth. Figure will also ask you to connect any accounts you want used to calculate and verify your income. These accounts can include retirement and brokerage accounts. The calculation of your debt-to-income ratio is a normal part of just about any loan application.

FAQs about Figure

The bottom line on Figure

Figure provides consumers a new, streamlined alternative for HELOCs and mortgage refinancing, with more products likely on the way. While the company is new, it’s generally highly rated. Ultimately, Figure gives consumers more financial options, and more options means a better chance of finding the best fit for you.

Despite all of this, Figure might not be for everyone. In that case, there are still plenty of loan products to consider that could work for you. At the end of the day, you have to choose what is best for you and your personal finance situation.