New American Funding - Memphis, TN

New American Funding - Memphis, TN Review

Pros & Cons

Reader-focused summary of the strongest reasons to consider New American Funding - Memphis, TN and the factors most worth weighing before contracting. Individual outcomes depend on your credit situation and goals.

Services & Features

Services offered

• ✓30-year fixed rate mortgages
• ✓15-year fixed rate mortgages
• ✓ARM (Adjustable Rate Mortgages) with introductory rates
• ✓VA loans with no down payment for veterans and active duty military
• ✓NAF Cash program for cash offers and rapid closing (7 days)
• ✓Pathway to Homeownership down payment assistance (up to $6,000 for qualified first-time buyers)
• ✓Mortgage refinancing
• ✓Loan origination to funding process management
• ✓Mortgage affordability calculator
• ✓Refinance calculator and comparison tool
• ✓Amortization schedule calculator
• ✓Educational content on reverse mortgages, fair housing, and mortgage insurance elimination

Feature Checklist

Best For

• •First-time homebuyers in Memphis area seeking down payment assistance and patient guidance through the mortgage process
• •Veterans and active duty military members looking for VA loans with no down payment requirements
• •Homeowners interested in refinancing or exploring ARM products to lower initial monthly payments
• •Cash buyers wanting to make competitive offers without contingent financing in the Memphis region

Compare Your Needs With New American Funding - Memphis, TN

Match these decision factors against New American Funding - Memphis, TN's profile before committing. This rubric mirrors what independent consumer-finance research typically checks for Mortgages providers.

Pricing

Frequently Asked Questions

Similar Companies ⓘ

Comparable Mortgages providers with similar service scope. Ratings reflect stored review context; verify current licensing and pricing directly before contracting.

Access Capital Group, Inc.

Access Capital Group, Inc. (LoanGoal) is a mortgage lender offering VA, FHA, conventional, and specialty loans since 2001, with a focus on low credit score b...

Rating 4.4/5

Read review →

Notable: Offers VA loans with zero down payment and no credit score requirement for VA IRRRL refinances

Agave Home Loans

Agave Home Loans is a mortgage lender and broker offering conventional, VA, FHA, and home equity loans with an online application process and competitive rat...

Rating 4.5/5

Read review →

Notable: Hybrid lender-broker model allows access to both proprietary loans and multiple lender options in one application

Alpha Abstract Agency

Real estate closing and title services agency operating in PA, NJ, and FL, specializing in title insurance, settlements, and deed transfers with 20+ years ex...

Rating 4.4/5

Read review →

Notable: 20+ years of documented experience in real estate transactions across residential and commercial properties

American Liberty Mortgage - Denver

Denver-based mortgage lender specializing in home purchase loans, refinancing, and reverse mortgages for FHA, VA, conventional, and DSCR borrowers.

Rating 4.4/5

Read review →

Notable: Locally owned and operated Denver company with 23 years of operating history since 2003

Aragon Lending Team - Trusted Mortgage Pros

Los Angeles-based mortgage broker specializing in purchase and refinance loans for busy professionals, emphasizing personal service and strategic offer positioning.

Rating 4.4/5

Read review →

Notable: 130+ verified Yelp reviews with consistent praise for personalized service and named loan officer (Julie)

Asset Based Lending

Asset Based Lending provides short-term and long-term financing for real estate investors, including fix-and-flip loans, rental property financing, bridge lo...

Rating 4.3/5

Read review →

Notable: Fast closing timelines advertised at as few as 10 days for fix-and-flip loans

Assurance Financial - Austin

Assurance Financial is a mortgage lender based in Austin, TX offering home purchase, refinance, construction, and home equity loans through local loan officers.

Rating 4.4/5

Read review →

Notable: Four dedicated branch managers with published NMLS credentials and consistent positive reviews citing specific names

Baker Collins & Co. | Commercial Lending

Baker Collins & Co. is a private money lender specializing in real estate investment loans including fix-and-flip, rental, new construction, and multi-family...

Rating 4.4/5

Read review →

Notable: Over 1,000 loans closed since 2015 demonstrates substantial lending experience in real estate markets

Related Questions

• Are collections on credit report? | CreditDoc

  Yes, collections are on your credit report and can hurt your score for 7 years. Learn how they get there, their impact, and how to address them.

• Are collections on your credit report? | CreditDoc

  Yes, collection accounts are listed on your credit report. Learn how they get there, their impact on your credit score, and how to find and address them.

• Are credit repair companies scams? | CreditDoc

  Not all credit repair companies are scams, but many are. Learn the legal red flags, what they can and can't do, and how to identify a legitimate service.

• Are credit repair services scams? | CreditDoc

  Not all credit repair services are scams, but the industry has many fraudulent players. Learn the red flags and your legal rights to avoid being scammed.

• Are medical collections on credit report? | CreditDoc

  Yes, but recent rule changes limit their impact. Learn when medical collections—including those under a certain amount or already paid—can affect your credit.

• Can collections go on credit report? | CreditDoc

  Yes, collection agencies can report unpaid debts to credit bureaus, severely damaging your credit score. Learn the timeline, rules, and how you can respond.

Next Steps

1. Compare New American Funding - Memphis, TN against similar options above.
2. Run our borrowing power quiz to see how New American Funding - Memphis, TN matches your situation.
3. Check state regulator listings for New American Funding - Memphis, TN's licensing before committing.
4. Visit New American Funding - Memphis, TN once you're ready.

Glossary of Terms

Common terms that come up when comparing Mortgages providers. Full glossary at creditdoc.co/glossary/.

Amortization — Loan Amortization

The process of paying off a loan through regular payments that cover both principal and interest. Early payments are mostly interest; later payments are mostly principal.

Why it matters: Understanding amortization explains why paying extra early in a loan saves the most money — you're reducing the principal that interest is calculated on.

Example: Month 1 of a $200,000 mortgage at 6%: your $1,199 payment splits as $1,000 interest + $199 principal. By month 300: only $47 goes to interest and $1,152 goes to principal.

APR — Annual Percentage Rate

The total yearly cost of borrowing money, including the interest rate plus any fees the lender charges. Think of it as the 'true price tag' on a loan.

Why it matters: Lenders must show APR by law (Truth in Lending Act) because the interest rate alone can hide fees. Comparing APR across lenders is the most reliable way to find the cheapest loan.

Example: You borrow $10,000 at 6% interest for 3 years, but there's a $300 origination fee. The interest rate is 6%, but the APR is 6.9% because it includes that fee. You'd pay $304/month and $946 total in interest.

Closing Costs — Mortgage Closing Costs

The fees paid when finalizing a home purchase or refinance — typically 2-5% of the loan amount. They include appraisal, title insurance, attorney fees, and lender fees.

Why it matters: Closing costs can add $6,000-$15,000 to a home purchase that buyers don't always budget for. Some can be negotiated or rolled into the loan.

Example: You buy a $300,000 home. Closing costs at 3% = $9,000. That includes: appraisal $500, title insurance $1,500, attorney $800, origination fee $3,000, taxes/escrow $3,200.

DTI Ratio — Debt-to-Income Ratio

The percentage of your monthly gross income that goes toward paying debts. Lenders use it to judge whether you can afford another loan payment.

Why it matters: Most lenders want DTI below 36% for personal loans and below 43% for mortgages. Above that, you're considered overextended and likely to be denied.

Example: You earn $5,000/month gross. Your debts: $1,200 mortgage + $300 car + $200 student loans = $1,700/month. DTI = 34%. A new $400/month loan would push you to 42% — risky for lenders.

Escrow — Escrow Account

An account managed by your mortgage lender that holds money for property taxes and homeowners insurance. A portion of each mortgage payment goes into escrow, and the lender pays these bills for you.

Why it matters: Escrow ensures taxes and insurance are always paid on time (protecting the lender's investment). Your monthly payment may go up if taxes or insurance increase.

Example: Your mortgage payment is $1,400: $1,050 principal+interest + $250 property taxes + $100 insurance. The $350 for taxes/insurance goes into escrow. The lender pays your tax bill in December from escrow.

FHA Loan — Federal Housing Administration Loan

A government-insured mortgage that allows lower down payments (as low as 3.5%) and lower credit score requirements (580+). The FHA insures the loan, reducing risk for lenders.

Why it matters: FHA loans make homeownership accessible for first-time buyers and those with imperfect credit. The tradeoff: you must pay Mortgage Insurance Premium (MIP) for the life of the loan.

Example: You have a 620 credit score and $10,500 saved. On a $300,000 home: FHA lets you put 3.5% down ($10,500) vs. conventional requiring 5-20% down ($15,000-$60,000).

Fixed Rate — Fixed Interest Rate

An interest rate that stays the same for the entire life of the loan. Your monthly payment never changes.

Why it matters: Fixed rates protect you from market changes. If rates go up, your payment stays the same. The tradeoff: fixed rates are usually slightly higher than starting variable rates.

Example: You get a 30-year mortgage at 6.5% fixed. Whether rates rise to 9% or drop to 4% over the next 30 years, your payment stays at $1,264/month on a $200,000 loan.

Interest Rate

The percentage a lender charges you for borrowing their money, calculated on the amount you still owe. It's the lender's profit for taking the risk of lending to you.

Why it matters: Even a 1% difference in interest rate can cost you thousands over a loan's life. Lower rates mean less money out of your pocket.

Example: On a $20,000 car loan for 5 years: at 5% you pay $2,645 in interest. At 8% you pay $4,332. That 3% difference costs you $1,687 extra.

Loan Term (Tenor) — Loan Term / Tenor

How long you have to repay the loan, measured in months or years. A shorter term means higher monthly payments but less total interest paid.

Why it matters: Longer terms feel more affordable monthly but cost much more overall. A 30-year mortgage costs almost double in interest compared to a 15-year mortgage on the same amount.

Example: Borrowing $200,000 at 6.5%: A 15-year term costs $1,742/month ($113,561 total interest). A 30-year term costs $1,264/month ($255,088 total interest). You save $141,527 with the shorter term.

LTV — Loan-to-Value Ratio

The ratio of your loan amount to the property's appraised value, expressed as a percentage. It tells the lender how much of the home's value they're financing.

Why it matters: LTV above 80% usually requires Private Mortgage Insurance (PMI), which adds $100-300/month. Lower LTV = lower risk for lender = better rate for you.

Example: Home value: $300,000. Down payment: $60,000. Loan: $240,000. LTV = 80%. You avoid PMI. If you only put $30,000 down (90% LTV), you'd pay PMI until you reach 80%.

Mortgage Refinancing

Replacing your current mortgage with a new one, usually to get a lower rate, change the loan term, or pull cash out of your home equity.

Why it matters: A 1% rate reduction on a $250,000 mortgage saves ~$150/month ($54,000 over 30 years). But closing costs of 2-5% mean you need to stay long enough to break even.

Example: You have a $300,000 mortgage at 7.5% ($2,098/month). Rates drop to 6%. Refinancing costs $8,000 in closing. New payment: $1,799/month. Monthly savings: $299. Breakeven: 27 months.

PMI — Private Mortgage Insurance

Insurance that protects the LENDER (not you) if you default on a mortgage with less than 20% down payment. You pay the premium, but it only covers the lender's loss.

Why it matters: PMI typically costs 0.5-1.5% of the loan per year and adds nothing to your equity. Once you reach 20% equity, you can request it be removed.

Example: On a $250,000 loan with 10% down, PMI at 0.8% = $2,000/year ($167/month). After 5 years, your home's value rises and your equity reaches 20%. You request PMI removal and save $167/month.

Points (Discount Points) — Mortgage Discount Points

Upfront fees you pay to the lender at closing to buy a lower interest rate. One point = 1% of the loan amount and typically reduces your rate by 0.25%.

Why it matters: Points make sense if you plan to stay in the home long enough for the monthly savings to exceed the upfront cost. That breakeven point is usually 4-6 years.

Example: On a $250,000 mortgage at 6.5%: you pay 1 point ($2,500) to get 6.25%. Monthly payment drops from $1,580 to $1,539 — saving $41/month. Breakeven in 61 months (5 years).

Prepayment Penalty

A fee some lenders charge if you pay off your loan early. The lender loses the interest they expected to earn, so they penalize you for leaving early.

Why it matters: Always ask about prepayment penalties before signing. They can trap you in a high-rate loan even if you find a better deal to refinance into.

Example: Your mortgage has a 2% prepayment penalty for the first 3 years. If you refinance after year 2 on a $200,000 balance, you'd owe a $4,000 penalty fee.

Refinancing — Loan Refinancing

Replacing your current loan with a new one, usually at a lower interest rate or with different terms. The new loan pays off the old one.

Why it matters: Refinancing can save thousands if rates drop or your credit improves. But watch for fees — a $3,000 refinancing cost needs to be offset by monthly savings.

Example: You have a $180,000 mortgage at 7.5% ($1,259/month). You refinance to 6% ($1,079/month), saving $180/month. With $3,000 in closing costs, you break even in 17 months.