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New American Funding offers a variety of home loans, including conventional, FHA, VA, and jumbo loans. The company is known for its customer service and innovative technology, and commitment to helping homebuyers achieve their dreams of homeownership.

New American Funding – Company Overview

New American Funding is headquartered in Orange County, California, and it’s licensed as a mortgage lender in 49 states. Founded by Rick and Patty Arvielo in the early 2000s, the company has helped address gaps in minority homeownership by sparking initiatives to help underrepresented homebuyers secure a mortgage loan through one of its many loan programs. 

New American Funding seeks to create a streamlined, technology-focused mortgage experience for homebuyers. The company uses digital financial services to create an efficient application and underwriting process allowing every borrower to get a custom experience that helps them get into their new homes quickly.


  • More than 170 brick-and-mortar locations
  • Large focus on serving minority populations
  • J.D. Power Award: No 1 in Customer Satisfaction Among Mortgage Services 


  • Does not service Hawaii or New York
  • Does not have brick-and-mortar locations in every state

Types of Loans: Conventional Loans, FHA Loans, Jumbo Loans, USDA Loans, VA Loans, Refinance Loans

Minimum Down Payment: 3.5%

Minimum Credit Score: 620

Why We Like New American Funding

New American Funding has grown exponentially since its beginnings with 170 locations across the United States. As it grows, New American Funding continues to find ways to cater to as many homebuyers as possible. For instance, its recent initiative for military families helps to get more military members and their families into the homes of their dreams with a loan product that works for them. 

As one of the best mortgage lenders, New American Funding’s competitors include:

New American Funding also has several forms of mortgage assistance for homeowners who are having trouble paying their mortgages due to financial hardship. Homebuyers can contact the company to learn more about their payment options, including modified payment terms, reinstatements, and affordable refinancing. 

Types of Loans Offered By New American Funding

New American Funding is one of the best mortgage lenders for versatile home loans that can fit into virtually any homebuyer’s financial situation. Whether you’re a first-time home buyer, want to tap into your home equity to get a second mortgage, or you need a home loan with little or low credit, New American Funding has a mortgage for you. 

The following options are available to homebuyers using New American Funding. 

Conventional Loans

One of the most common types of home loans is a conventional loan. Conventional loans are the ones most people think of when they think of a mortgage. They typically are available in 15 or 30-year terms and can have fixed or adjustable interest rates. New American Funding also allows a 10-year term for homebuyers looking to pay off their mortgage faster. 

Although many lenders require down payments of at least 10%, with 20% preferred, New American Funding allows as little as 3%. Homebuyers putting down this amount also may not need to pay mortgage insurance

For a conventional home loan with New American Funding, homebuyers need at least two years of tax returns and proof of income, a minimum credit score of 620, and a debt-to-income ratio of no more than 43%. 

VA Loans

VA loans are unique home loans for veterans and service members who are eligible for one based on requirements set by the Department of Veterans Affairs (VA). Qualifying individuals need a Certificate of Eligibility from the VA showing that they’re allowed to purchase a home with a VA loan.

VA loans come with several benefits, including no required down payment, no prepayment penalties, and lower-than-average interest rates. These loans do come with a funding fee, but borrowers can finance the fee as part of their loan. The VA also allows sellers to pay a portion of the loan’s closing costs for the buyer to make their loans more affordable. 

USDA Loans

The government backs USDA loans, so borrowers must meet the requirements of the USDA and New American Funding. Therefore, securing a USDA loan can take a bit longer than conventional loans. Still, borrowers can have benefits like low down payment requirements and qualifying with a credit score as low as 580. The USDA also allows borrowers to get help paying for their closing costs from the seller or rolling the costs into the home loan.

Some borrowers may qualify for a home improvement version of the USDA loan, allowing them to buy a home they want to repair and bundle the costs of the home and its repairs into one mortgage loan. 

Generally, USDA loan borrowers need to have an income at or below 115% of the area’s median income and have proof of a steady income source. 

FHA Loans

FHA loans are furnished through New American Funding but are backed by the Federal Housing Administration (FHA). With this loan, borrowers may pay a down payment of as little as 3.5% of the purchase price of the home. However, they’ll need to pay mortgage insurance to the mortgage lender.

FHA loans allow for higher debt-to-income ratios than other loans, as much as 57%. Still, borrowers need proof of a steady income and a minimum credit score of 580 to get approved. FHA loans typically have strict home inspection requirements, too, so some homes may not qualify.

Jumbo Loans

Jumbo loans from New American Funding can be used to purchase homes with prices above the conforming loan limits. In most of the country, the limit for conventional loans is $726,200.

Unlike some other loans, you can use a jumbo loan on various types of properties, like a multi-family complex as an investment. Like conventional loans, these loans are available with adjustable or fixed interest rates

To get a jumbo loan with New American Funding, homebuyers need a minimum credit score of 680, a down payment of at least 10%, and a debt-to-income ratio of no more than 45%. Consistent income is also required. 

Guest House Loans

Homeowners who want to create a guest house on their property for additional space or rental income can reach out to New American Funding for a guest house loan. This type of home loan offers funding based on the amount of equity you have in your home. Essentially, this loan is a type of cash-out refinance, allowing you to refinance your mortgage and get money back to fund a guest house.

The requirements for these loans can range significantly depending on the type of property you have and the home loan you currently have. However, all borrowers will have their credit scores, credit histories, income, and amount of home equity reviewed by New American Funding. 

Non-QM Loans

Also known as a Non-Qualified Mortgage, a non-QM loan from New American Funding is one of the best loan products for people who may not qualify for conventional loans or other traditional loan types because they do not have typical income. For example, a self-employed business owner may have variable income throughout the year, making it difficult for them to qualify for other types of homeownership loans. 

Non-QM loan borrowers will still need to verify their incomes in some way, but these requirements are more flexible than with other types of home loans. They also have less stringent credit score and history requirements than other loans, with some borrowers able to get a loan with a credit score of 620 or higher. Non-QM loans are available for as much as $2.5 million, and they can come in various terms and mortgage rate options. 

Interest-Only Loans

An interest-only mortgage from New American Funding lets homebuyers pay for just the interest that accrues on their loan each month. This differs from traditional loans, which typically include both a principal payment and an interest payment monthly.

These loans can be a more affordable option for many homebuyers. However, the monthly payment typically changes after 5-10 years when principal payments are added. Homebuyers who expect a more stable financial future in the next few years after buying their homes may be the best candidates for this mortgage.

Credit scores for these loans are usually in the high 600s, at minimum. Borrowers also should have at least a 15% down payment and a debt-to-income ratio of 40% or lower. 

I CAN Mortgages

An I CAN mortgage is one of the most customizable types of home loans. Borrowers can choose flexible terms, like paying their loan off in 12 years rather than 15, and potentially get a lower interest rate for doing so. When you choose this type of loan, your loan officer can help you determine the best terms for your loan based on your financial situation and future goals.

Homebuyers may qualify for an I CAN mortgage with a minimum credit score of 620 and down payments of as little as 5%. 

Reverse Mortgages

Reverse mortgages from New American Funding help homeowners who are 62 or older cash out the equity in their homes to assist them during retirement. These mortgages allow homeowners to receive their funds as a lump sum, a line of credit, or in payments over time, depending on their financial goals.

Homeowners using a reverse mortgage do not need a minimum credit score or maximum debt-to-income ratio to qualify. Rather, the lender considers the homeowner’s income and ability to pay housing costs. 

How To Apply for a New American Funding Home Loan

Anyone looking to buy a home with a New American Funding home loan should begin the process with a preapproval, which approves you for a specific loan amount. Once you find the home you want to buy, your loan officer can move your loan into the full approval process, followed by underwriting. 

Be sure to sign up for an online account with New American Funding to track your application’s progress and easily upload necessary documents along the way. 

How To Contact New American Funding

You can contact New American Funding by phone at (800) 890-1057, or by email at CustomerService@nafinc.com. You can also search the map to find a branch near you.

The New American Funding mobile app allows you to easily apply for a loan, upload documents, and track the status of your application. It also offers helpful tools such as a mortgage calculator and access to mortgage rates. The app can be downloaded for free from the App Store or Google Play.

After the Loan Closes

New American Funding offers a 14-day closing guarantee that ensures that all loans following the appropriate steps will close within 14 business days. During the underwriting process, be available to provide necessary documents or information to your mortgage servicer to keep everything moving. 

During your closing appointment, you’ll pay closing costs and sign all the documents to put the home into your name. New American Funding will also let you know how to begin paying on your loan. The company allows payments by phone, wire transfer, mail, and through your online account, and you can make them bi-weekly or monthly.

Is New American Funding Right for Me?

New American Funding is a customer-first lender offering flexible home loans to homebuyers with various housing and financial needs. With home loans for veterans, people with low incomes, and those looking for customizable mortgages, New American Funding likely has a mortgage option for almost any homebuyer. We also appreciate its dedication to military families and community events. 

We hope that our New American Funding review helps guide you through the company’s offerings and allows you to more easily compare this mortgage lender with others to find the best fit for your home buying journey. Consider contacting New American Funding customer service to ask any additional questions you might have before moving on to the preapproval process.