NewFed Mortgage overview
NewFed Mortgage is a full-service mortgage lender operating in several states throughout the country. It offers a wide range of loan options for borrowers with varying qualifications. Founded in 2000, the lender is headquartered in Danvers, Massachusetts, and is the parent company of Commonwealth Mortgage, which offers discounted rates and a best-rate guarantee: It’ll pay you $500 if you can find a better deal at another lender. Note that while the lender claims it offers “speedy” closings online, it doesn’t state a precise timeline. Generally, closing times can vary based on the complexity of the loan and other factors.
Borrowers exploring a variety of loan options, including renovation loans, in the states the lender is licensed in
- Rate-and-term and cash-out refinancing
- Construction and renovation loans
- Reverse mortgages
NewFed Mortgage does not provide lender fee information on its website. The lender does offer a no-cost closing mortgage option, which includes APR fees — like origination and application fees — as well as non-APR fees such as title costs. Both NewFed Mortgage and Commonwealth Mortgage also partner with CMR Closing Services, LLC, to provide a discounted closing.
NewFed Mortgage does not advertise its rates online. To learn what rate you might qualify for, you’ll need to connect with a loan officer first, which you can find easily through the lender’s website.
NewFed Mortgage has an A+ rating from the Better Business Bureau, although it is not accredited by the organization.
NewFed Mortgage doesn’t have a robust online presence. The lender’s website primarily directs you to an application form that you can use to start the home loan process. You’ll fill out some basic information about the loan you’re looking for, then work with a loan officer to get preapproved for the right loan for your needs.
Minimum borrower requirements
NewFed Mortgage doesn’t publish borrower requirements online. In general, most lenders follow Fannie Mae’s underwriting guidelines, which require a credit score of 620 or higher to qualify for a conventional loan. You’ll also need a down payment of at least 3 percent and a debt-to-income (DTI) ratio of 43 percent or lower.
FHA loans generally require borrowers to have a credit score of 500 or higher, a DTI ratio of 50 percent or lower and a down payment of at least 3.5 percent. VA loans don’t have a down payment or minimum credit score requirement, but you’ll typically need a FICO score of 620 or higher. Likewise, USDA loans don’t have a down payment requirement, but are only available to borrowers to specific areas.
Refinancing with NewFed Mortgage
NewFed Mortgage offers refinancing but doesn’t provide many details about these programs online. If you’re interested in refinancing, you’ll need to fill out a basic application with loan details and wait for a loan officer to contact you. There’s no information on its website outlining refi rates or fees.
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Breakdown of NewFed Mortgage overall review score
- Affordability: 3/5
- Availability: 3.8/5
- Borrower experience: 4.3/5
To determine a mortgage lender’s Bankrate Score, Bankrate’s editorial team rates lenders on a scale of one to five stars based on a variety of factors relating to the lender’s products and services. Bankrate’s partners compensate us, but our opinions are our own, and partner relationships do not influence our reviews. Here is our full methodology.