Mr. Cooper Bank Mortgage Review 2024

Mr. Cooper provides customers with an advanced digital platform post-loan closure, primarily through its customer dashboard. The Home Intelligence mobile app offered by Mr. Cooper enables customers to oversee not only their mortgage but also their overall financial health. Through this app, customers gain valuable insights into various aspects, including their home value, neighbourhood trends, and the current status of their home’s equity.

Overview

Mr. Cooper stands as one of the largest nonbank mortgage lenders nationwide, providing its services across all 50 states. Specializing in conventional, jumbo, FHA, and VA loans, Mr. Cooper operates solely as an online lender, without physical branch locations.

Loan Types

Speed:

Closing timelines with Mr. Cooper typically range between 30 to 45 days, ensuring a timely completion of the mortgage process.

Eligibility:

Mr. Cooper sets minimum credit score requirements at 620 for conventional borrowers and 580 for FHA borrowers. The lender stipulates a minimum down payment of 0% for VA loans, 3% for conventional loans, and 3.5% for FHA loans.

Why We Choose Mr. Cooper Bank?

National Presence: Mr. Cooper serves customers nationwide, ensuring accessibility and convenience regardless of geographical location.

Diverse Loan Options: With offerings spanning conventional, jumbo, FHA, and VA loans, Mr. Cooper provides borrowers with a wide array of mortgage products to suit varying financial situations and preferences.

Seamless Online Application: Applying for a mortgage with Mr. Cooper is hassle-free, with the entire process conducted online. This approach streamlines the application process, saving time and effort for borrowers.

Efficient Preapproval Process: Mr. Cooper prioritizes speed and efficiency, offering preapproval in less than five hours, empowering borrowers with a clear understanding of their mortgage eligibility swiftly.

Competitive Closing Timelines: Closing timelines with Mr. Cooper typically range between 30 to 45 days, ensuring a timely and efficient completion of the mortgage process.

Flexible Eligibility Criteria: With minimum credit score requirements set at 620 for conventional borrowers and 580 for FHA borrowers, Mr. Cooper maintains accessible eligibility criteria to accommodate a broader range of applicants.

Comprehensive Support: Customer support is readily available via phone during extended hours throughout the week, providing assistance and guidance to borrowers at every stage of the mortgage journey.

Technology-driven Solutions: Mr. Cooper distinguishes itself through its advanced digital platform, offering customers an enhanced digital experience post-loan closure through its customer dashboard and Home Intelligence mobile app. These tools empower borrowers to manage their mortgage and overall financial well-being with ease.

In summary, Mr. Cooper Bank combines nationwide accessibility, diverse loan options, streamlined processes, and robust customer support to offer borrowers a compelling mortgage lending experience tailored to their needs.

Pros and Cons:

Pros:

• Low Minimum Credit Score Requirements: Mr. Cooper Bank maintains low minimum credit score requirements, enhancing accessibility for borrowers with varying credit profiles.
• Several Discount Programs Available: The bank offers several discount programs, providing opportunities for borrowers to save on mortgage-related costs and fees.
• Ample Digital Support for Existing Customers: Mr. Cooper Bank distinguishes itself with robust digital support for existing customers, facilitating convenient management of mortgages and financial well-being through its customer dashboard and mobile app.

Cons:

• No USDA Loans: Mr. Cooper Bank does not offer USDA loans, limiting options for borrowers seeking this specific type of mortgage.
• No Brick-and-Mortar Locations: With an exclusively online presence, the bank lacks physical branch locations, which may be a disadvantage for borrowers who prefer in-person banking services.
• No Home Equity Loans or HELOCs: Mr. Cooper Bank does not provide home equity loans or home equity lines of credit (HELOCs), potentially limiting borrowing options for homeowners seeking to leverage their home equity.

Overall, while Mr Cooper Bank offers advantages such as lenient credit score requirements, discount programs, and digital support, its limitations include the absence of USDA loans, brick-and-mortar locations, and home equity products.

How To Apply:

Applying for a mortgage with Mr. Cooper is a seamless online process. Customer support via phone is accessible Monday through Thursday from 7 a.m. to 8 p.m. CT, Friday from 7 a.m. to 6 p.m. CT, and Saturday from 8 a.m. to 2 p.m. CT. Preapproval typically requires less than five hours.

Offering :

Offering a comprehensive range of mortgage options, Mr Cooper caters to both buyers and refinancers. The lender extends fixed and adjustable-rate conventional and jumbo mortgages, FHA loans, and VA loans. Notably, Mr. Cooper does not provide USDA loans, home equity loans, or HELOCs.

Methodology:

We conducted a comprehensive review of over 50 mortgage lenders operating nationwide, both online and in-person. Our review encompassed some of the largest mortgage lenders by volume, including banks, credit unions, and online lenders. Lenders that do not publicly disclose their interest rates online were excluded from consideration.

Advisor’s Criteria:

Advisor evaluates home loan lenders based on criteria that significantly influence the overall cost of the mortgage and the homebuying process. These criteria include borrower eligibility requirements, the diversity of loan options, and features that impact the homebuying journey.

Weighting of Categories:

The best mortgage lenders were assessed based on the following categories, each assigned a specific weighting:

• Interest Rate: 20%
• Down Payment Requirements: 20%
• Credit Score Minimum Requirements: 20%
• Consideration of Alternative Credit Data: 10%
• Preapproval Time: 10%
• Closing Timelines: 10%
• Variety of Loan Types: 10%
• Lender Discounts Offered: 5 bonus points

Focus on Affordability and Accessibility:

Our methodology prioritizes affordability, accessibility, and key features that directly impact the homebuying process, such as preapproval and closing times. By focusing on these aspects, we aim to provide consumers with valuable insights that align with their top priorities when comparing mortgage lenders.