Newrez Mortgage Review 2026

Newrez overview

Pennsylvania-based Newrez is a mortgage originator and servicer that offers a variety of conventional, government-backed and specialty home loans, as well as refinancing, with branches across the country. The company has been around since 2008, but it has grown substantially in recent years. Newrez quadrupled its market share of originations over the past five years.

Newrez's federal violations

Bankrate researches recent cases in which lenders have paid a penalty for harming borrowers so you can make an informed decision. Our research includes:

• Federal settlements or judgments by a regulator against the lender
• Certified federal class-action lawsuits against the lender

In March 2025, Newrez paid $1.2 million to settle a class-action lawsuit accusing it of charging illegal fees to mortgage borrowers. Because of this, we’ve subtracted one point from Newrez’s Bankrate Score.

Pros and cons of Newrez

How Bankrate scored Newrez

Affordability: 3.4 stars

Newrez offers low-down-payment options and participates in affordable housing programs. However, you’ll have to contact the lender to learn about rates. 

• Interest rates: Newrez requires borrowers to submit personal information in order to receive a rate quote. 
• Down payment: Newrez’s RezSource program lets income-eligible borrowers put as little as 1 percent down on a home and receive the other 2 percent in assistance. The program itself includes up to $5,000 for a down payment or 2% of the appraised value of the home, whichever is less.
• Closing costs: Newrez charges an origination fee, as well as up to $350 for a title search and up to $600 in recording fees. However, the lender does provide a $1,000 credit toward closing costs just for applying and an additional credit of 0.5 percent of the home price for using an affiliated agent. Eligible borrowers may also receive up to $5,000 if Newrez causes a delay in closing. 

Availability: 5 stars

Newrez offers the full suite of home loan products to eligible borrowers nationwide, including non-typical loans for investors and business owners. 

• Home loans offered: Newrez offers conventional, jumbo, and FHA and VA mortgages, as well as HELOCs and home equity loans. It also offers non-QM loans — called the Smart Series — that serve borrowers with credit challenges, self-employed borrowers without access to W-2s and real estate investors.
• Footprint: Newrez works with qualified borrowers across all U.S. states.
• Where to find: You can apply for a mortgage with Newrez online, by phone or in person at a branch location.

Borrower experience: 2.9 stars

Newrez has a lower score for borrower experience due to limited tech conveniences, below-average J.D. Power rankings and a lack of rate transparency.

• Preapproval and application process: You can begin the prequalification or preapproval process with Newrez online. From there, you’ll be connected to a loan officer.
• Transparency: Newrez requires you to contact the lender directly to get a personalized rate quote.
• Customer service: You can reach Newrez’s customer service team at 888-673-5521. The lender provides many points of contact: in person, as well as by phone, email, online form and chat, and text message.

Newrez reputation

Newrez is accredited with the Better Business Bureau and has an A+ rating from the organization. It doesn’t score as highly with J.D. Power, which rated the lender below-average for customer satisfaction in both mortgage origination in 2024 and mortgage servicing in 2025.

In 2025, Newrez paid $1.2 million to settle a class-action lawsuit in which it was accused of charging mortgage borrowers fees related to property inspections in violation of Maryland law.