Is Newrez a Real Company? Exploring the Legitimacy of This Mortgage Lender

There is a real mortgage company called Newrez that lends money all over the United States. With over 4,000 employees and licenses to work in all 50 states, Newrez handles billions of dollars in mortgage loans every year. However, some buyers are still not sure if Newrez is a legitimate lender. This article will look at some important facts about Newrez to help you decide if it is the right mortgage company for you to buy a home or refinance your current one.

Background of Newrez

The mortgage companies American Advisors Group and Security National Mortgage merged to form Newrez in 2013. The new company chose the name “Newrez” to reflect its focus on using new technology to change the mortgage process.

Headquartered in Fort Washington, Pennsylvania, Newrez handles a full spectrum of mortgage loans including purchases, refinances, reverse mortgages, and more. It is currently licensed to lend in all 50 states and has over 4000 employees nationwide.

Newrez is one of the biggest non-bank mortgage lenders in the United States. Every year, they start and service billions of dollars worth of home loans. It gave loans worth more than $75 billion to more than 150,000 people in 2021 alone. The company gives loans to people with all kinds of credit, from good credit to people who have had credit problems in the past.

Newrez is a Real, Legitimate Mortgage Company

Given its large lending volume and national presence, Newrez is undoubtedly a real company. Here are some of the top facts confirming Newrez is a legitimate mortgage lender:

• License to Do Business in Every State: Newrez has active licenses to do business as a mortgage lender and servicer in all U.S. states. S. state. You can use the NMLS database to find out about their license.

• Rated by Top Industry Analysts: Newrez is rated and reviewed by trusted industry sources like J.D. Power, Moody’s, and S&P Global. It earns strong ratings for financial stability.

• Member of Top Industry Groups: Newrez is a member of the Mortgage Bankers Association, National Mortgage Professional Magazine, and other key industry groups. Membership requires meeting strict standards.

• Positive Reviews and Complaint Resolution: At the BBB, Newrez earns an A+ rating with customers praising their professionalism. They resolve most complaints through the BBB process.

• Secure Website and Contact Info: Newrez has a real working website with secure encryption, company history, and multiple ways to contact them including phone, email, and physical address.

• Extensive Mortgage Products: As a true lender, Newrez offers a full menu of real mortgage programs – not just a single product. You can get fixed-rate, ARM, jumbo, FHA, VA, and USDA loans with competitive rates.

How Newrez Compares to Other Mortgage Lenders

Given confirmation that Newrez is legitimate, how does it compare to other big lenders? Here are some key contrasts:

• Newrez is a non-bank lender while competitors like Wells Fargo and Chase are banks with mortgage divisions. This gives Newrez more lending flexibility but less financial stability.

• As a newer company founded in 2013, Newrez lacks the long history of more established lenders. But its newer systems can mean faster, more tech-enabled service.

• Newrez specializes in mortgages only while banks offer other products like accounts, credit cards, and investments. Newrez’s focus on just home loans can translate to better service.

• Newrez earns positive ratings for customer service and loan experience while big banks often have lower scores and more frequent complaints.

• Newrez’s loan options are competitive but megabanks may offer more niches like physician loans or better specialty loans rates.

Should You Get a Mortgage with Newrez?

Now that you know Newrez is legitimate, is it the right lender for your mortgage? Here are some key factors to consider:

• Your Credit Profile: Newrez welcomes a broad range of credit but may not offer the very lowest or highest rates for special credit situations.

• Loan Program Needs: Review Newrez’s loan programs to ensure they offer the specific products you need like VA, FHA, jumbo, or niche loans.

• Interest Rates and Fees: Get rate quotes from Newrez and other lenders to compare pricing. Look at both rates and total origination fees/closing costs.

• Ease of Process: Research reviews and complaints to gauge customers’ experiences with Newrez’s application process, documentation, and underwriting.

• Servicing Reputation: For pre-approvals, consider Newrez’s reputation on servicing existing loans, not just originating new ones.

Doing your homework on the above factors will help you decide if picking trusted lender Newrez for your next mortgage makes sense. You can rest assured they are a real and legitimate option for financing your home.