For years, State Farm agents could offer mortgages to their customers through State Farm Bank, the company’s banking arm that offers home loans, auto loans, checking accounts, savings accounts, credit cards and other traditional banking services to State Farm customers.
But that won’t be the case for much longer. Soon, State Farm will begin using Quicken Loans to originate mortgages for its customers thanks to a significant new partnership between the two companies.
According to the companies, State Farm agents who are licensed loan originators will actually be able to originate a mortgage for their customers using Quicken’s Rocket Mortgage platform.
Quicken launched Rocket Mortgage more than three years ago, offering mortgage pre-approvals in minutes and jumpstarting a digital mortgage revolution.
Since then, Rocket Mortgage has grown substantially. According to Quicken, 98% of all mortgages originated by Quicken make use of Rocket Mortgage technology.
And within the next few months, Quicken Loans will make new Rocket Mortgage technology available to State Farm agents that will allow the agents to offer a Rocket Mortgage loan as a licensed loan originator.
According to the companies, State Farm agents will be able to help their customers get conventional mortgages backed by Fannie Mae or Freddie Mac, Federal Housing Administration mortgages, Department of Veterans Affairs mortgages, Department of Agriculture loans, and jumbo mortgages.
The companies state that the rollout of this program will take place over the next several months with all new mortgages originated by State Farm agents through Rocket Mortgage.
“Our goal is to help people live life confidently. An important component of that is helping people achieve their dream of homeownership,” said Joe Monk, senior vice president, financial services for State Farm. “As the nation’s largest mortgage lender, Rocket Mortgage brings a proven track record of strong product offerings, consistent financial strength, and award-winning service. We are excited about this opportunity to help even more people through the power of this alliance.”
Current State Farm Bank mortgage customers will not be impacted, the company said.
“We aim to provide the best mortgage experience possible, no matter where the client is or how they connect with us,” said Jay Farner, CEO of Quicken Loans. “Through this alliance, we will be able to combine Rocket Mortgage’s powerful mortgage processing and underwriting technology with the advice and strong relationships built from the power of the State Farm agent network.”