New American Funding offers conventional, proprietary and government-backed mortgages. Its variety of mortgage options make it worth checking out, especially if you have unique financial needs. It also offers options for refinancing and tapping into your home equity. Its products aren’t available to New York or Hawaii residents.
- Offers several mortgage options
- Website and app to manage your mortgage
- Educational resources like calculators, blogs and home buyer guides
- Not available in New York or Hawaii
Curious about New American Funding? Check out our in-depth review below to get the 4-1-1.
When applying for a mortgage, you must consider all your options, sometimes looking beyond the top lenders.
While New American Funding (NAF) isn’t one of the biggest mortgage lenders in the country, it is a popular choice available in almost all 50 states. Keep reading to understand how to qualify for an NAF loan.
- New American Funding Loan Options
- Customer Service
- Rates and Fees
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New American Funding Loan Options
New American Funding has various options for borrowers interested in a new loan or refinance. They offer several refinancing options, including a cash-out refinance and a home equity line of credit (HELOC).
They also have an FHA streamline refinance, where you can convert your FHA loan into another mortgage.
Customer Service
New American Funding has excellent customer service reviews. They have a 4.9 out of 5 rating on Trustpilot with over 1,000 reviews. The reviews praise how easy and fast the process was for refinancing and new home purchases.
Rates and Fees
Each mortgage product has its own set of rates and fees. A 30-year fixed-rate loan has a 6% rate, while the rate drops to 5.50% for a 15-year fixed-rate loan. Both 30-year FHA and VA loans have a 5.75% rate.
Credit Score Requirements
Like interest rates, credit score requirements depend on the loan type you choose. For example, a conventional loan typically requires a credit score of 620. However, you can qualify for an FHA loan with a score as low as 500.
Who is New American Funding Best For
While New American Funding provides loans for all types of borrowers, they also have special programs for some minority customers.
Their Latino Focus initiative aims to help close the gap for Latino homebuyers. Their website says their goal is to “provide $10 billion in new mortgages to Latino homebuyers by 2028.”
They also have a similar program for African-American borrowers, the NAF Black Impact, where they hope to “provide $20 billion in new mortgages to Black homebuyers by 2028.”
How to Apply for a Loan From New American Funding
Each type of mortgage has its process. First, you’ll choose what type of loan you want to apply for (this is also where you would apply to refinance or take out a home equity loan).
Next, you’ll be directed to a page with more information about your selected loan type. Then, you’ll have to answer some basic questions, which will vary depending on your chosen loan. These may include if you’ve already found a home, where you live, if you’re a first-time homeowner and more. You may also have to provide the purchase price (or estimated purchase price), the down payment, if you’re employed, gross annual household income and more. Then, you’ll have to give your contact information.
New American Funding vs Guaranteed Rate
One of the main differences between New American Funding and Guaranteed Rate is that the latter is available in all 50 states. Their website also claims that you can get same-day mortgage approval.
Guaranteed Rate’s interest rates are similar to or even better than what New American Funding offers, especially for 15-year fixed-rate FHA and VA loans. However, their interest rates for a 30-year fixed-rate loan are slightly higher than what New American Funding offers.
The Bottom Line
New American Funding has relatively comparable interest rates and several loan products. However, it doesn’t offer a wide range of terms. If you’re looking for a basic 30-year fixed-rate loan, though, this may be a good choice.
Why You Should Trust Us
I’ve been a personal finance writer for more than 10 years. I’ve covered mortgage-related topics and other personal finance issues for reputable publications, such as Business Insider, Forbes Advisor and Bankrate.
Frequently Asked Questions
Is New American Funding legit?
New American Funding is a popular and reputable lender. If you’re applying for a mortgage, you should consider New American Funding as a legitimate lender. However, weigh all your options and find a lender with the right combination of low interest rates and fees, positive customer reviews and more.
What credit score do you need for New American Funding?
Your credit score will greatly impact the type of loan you qualify for, and the minimum credit score needed to qualify for a loan depends on the loan type. For example, FHA loans have credit score requirements as low as 500, while a conventional loan typically requires a 620.
How long does it take to close with New American funding?
The closing process can vary depending on the loan product, if there are any issues with the title, negotiations between the buyer and the seller and other potential problems. Illness or extreme weather may also potentially delay closing.
User Reviews
Yasser
Good
Andreus Thomas
i used them to buy a rental property
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About Zina Kumok
Zina Kumok is a freelance writer, editor and speaker specializing in personal finance. A former reporter, she has covered murder trials, the Final Four, and everything in between. She has been featured in U.S. News & World Report, Forbes Advisor, and Bankrate. Read about how she paid off $28,000 worth of student loans in three years at Conscious Coins.