Spring EQ: 2022 Home Equity Review

Spring EQ is a mortgage lender based in Philadelphia. Founded in 2016, Spring EQ calls itself a “technology-based” originator of loan products and says its streamlined process can drastically reduce the amount of time it takes to access the equity in your home. 

This lender is best for homeowners who need fast access to funds, as Spring EQ says its customers on average receive their money in 21 business days. Spring EQ is also a good option for borrowers with great credit. The lender requires a FICO score of at least 740 to qualify for the maximum loan amount of $500,000.

Spring EQ offers home equity lines of credit, or HELOCs, and home equity loans.

Spring EQ: At a glance

Types of home equity loans Home equity loan, HELOC
APR range Ranges from 4.75% to 13.15%
Loan amounts $25,000-$500,000
Credit score requirements Home equity loan: 620 home equity loan; HELOC: 680
Repayment terms 5-30 years
Average time for approval Can be approved within minutes

What we like

  • Fast access to funds: Average time to receive funds is 21 business days but can be as fast as 11 days.
  • Fast approval: You can be approved within minutes, according to Spring EQ.
  • Flexible property types: You can take out a Spring EQ HELOC for a second home.

What we don’t like

  • No online payment option: Although this lender considers itself a technology-based lender, it doesn’t yet offer an online payment option.
  • Strict guidelines for self-employed homeowners: Self-employed homeowners should be prepared with extra verification of income and employment. For example, some homeowners can qualify for certain home loans with a debt-to-income ratio, or DTI, as high as 50%, but if you are self-employed your DTI cannot exceed 40%.
  • Limited availability: Spring EQ retail home loans are currently not available in Alaska, Hawaii, Idaho, Massachusetts, Missouri, North Dakota, Nevada, New York, South Dakota, West Virginia, Wyoming and Utah (as well as Washington for HELOCs).

Home equity loan product options

Spring EQ offers HELOCs, home equity loans, refinance and cash-out refinance loans. Qualified homeowners can borrow as much as 95% of their home’s value with a home equity loan or 90% with a HELOC.

Fees

Spring EQ charges typical closing costs and fees such as title, notary and home appraisal fees. However, it also charges administrative fees for its home equity products that some other lenders choose to waive. Keep in mind, the fees you pay with any lender will vary by state and county, as well as your personal financial status.

For a Spring EQ HELOC, you must pay a loan administration fee of $295, plus an annual maintenance fee of $99. For a home equity loan, you must pay a fixed rate loan administration fee of $799.

How to qualify

The requirements to qualify with Spring EQ vary depending on the type of loan product you are applying for, but the loan amount and interest rate you’re approved for will be heavily based on your credit score. For example, you can borrow up to 95% of your home’s value with a credit score of 700 or above for its home equity loans, or 90% for HELOCs. 

For HELOCS, here are Spring EQ’s FICO score requirements and the corresponding maximum value you can borrow against your primary residence: 

  • 740 and above: 90%
  • 700-739: 90%
  • 680-699: 80% 

For home equity loans, here are Spring EQ’s FICO score requirements and the corresponding maximum value you can borrow against your primary residence:

  • 740 and above: 95%
  • 700-739: 95% 
  • 680-699: 90%
  • 640-679: 85%
  • 620-639: 70%

You must also have a current DTI of at least 50% or less with the minimum FICO score and $3,500 in monthly residual income to qualify for a home equity loan, and a current DTI of at least 45% with the minimum FICO score for both HELOC and home equity loan approval. 

Getting started

The application process for Spring EQ is simple. You can apply directly online and receive a decision within minutes, or call and speak directly with a loan officer. Its online platform helps simplify the paperwork process and keep all of your documentation in one place. You can find out what interest rate you are likely to prequalify for without dinging your credit score, but if you want to be fully verified for preapproval, it will result in a hard pull on your credit. 

Homeowners applying for a home loan with Spring EQ should be ready to provide the below information, along with any other paperwork the lenders asks for. Keep in mind, self-employed customers will be required to provide additional documentation. 

  • Current and valid completed application
  • Proof of income
  • Mortgage statement
  • Home hazard insurance
  • Photo ID

Customer service

You can reach a licensed Spring EQ loan officer at one of the phone numbers or emails below, or submit an inquiry via Spring EQ’s website. 

Live phone support:

  • General inquiries: 888-978-9978 
  • Home equity loan applicants: 888-451-4574

Email support: 

  • Current customers: servicing@SpringEQ.com

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