New American Funding vs Quicken Loans

Kalicia Bateman
Kalicia Bateman | Contributor

In your mortgage search, you’ve probably heard of New American Funding and Quicken Loans, two big names in the online mortgage lender industry. Both companies offer a variety of home loan options at competitive rates and a streamlined application process that can be completed entirely online.

New American Funding and Quicken Loans both have more than 300 reviews on BestCompany.com, providing some helpful insight into the customer experience with each company. Currently, New American Funding is ranked higher than Quicken Loans based on customer sentiment.

Jump down to read a complete comparison of the two companies or helpful FAQs.

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Attention: Quicken Loans changed its name to Rocket Mortgage.

QuickenLoans.com remains operational, but you will be directed to Rocket Mortgage to apply for a loan.

New American Funding logo verified_user
#2 New American Funding
9.1 Overall Score
4.9
star star star star star
(617)
Quicken Loans logo verified_user
#4 Quicken Loans
8.3 Overall Score
4.1
star star star star star_border
(584)

Overview

New American Funding

Minimum Down Payment

3%

Minimum Credit Score

620

Government-Insured Loan Types

FHA, VA, USDA

Average Time to Closing

30 Days

Time in Business

20 Years

Quicken Loans

3%

620

FHA, VA

30–50 Days

37 Years

Ratings

New American Funding

Overall Score
9.1 of 10
Review Score
4.9
star star star star star
Value for Money
4.9
star star star star star
Quality of Product or Service
4.9
star star star star star
Company Trustworthiness
4.9
star star star star star
Likely to Recommend
9.7 of 10

Quicken Loans

8.3 of 10
4.1
star star star star star_border
4.0
star star star star star_border
4.0
star star star star star_border
3.9
star star star star star_border
7.2 of 10

Pros & Cons

New American Funding

PROS

  • Online mortgage process
  • On-time closing guarantee
  • Home equity loan options available
  • Mortgage payment assistance provided (if necessary)

CONS

  • Higher than average mortgage rates
  • Not licensed to lend in Hawaii

Quicken Loans

PROS

  • Licensed to lend in all 50 states
  • Daily updated mortgage rates available on website
  • Streamlined approval and loan process
  • Online application and mortgage management
  • Private mortgage insurance (PMI) payment options

CONS

  • No USDA loans
  • No home equity loan options

Reviews

New American Funding

Number of Reviews
617
Review Breakdown
4.9
star star star star star
5 star
94%
4 star
4%
3 star
1%
2 star
0%
1 star
1%

Quicken Loans

584
4.1
star star star star star_border
5 star
67%
4 star
7%
3 star
6%
2 star
3%
1 star
16%

Reviews for New American Funding

Helpful Favorable Review

star star star star star_border

Rick Daniels

September 19th, 2022

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Review Source

Everything was great on Jacks part, we did have a couple of hang ups with the processor, Jessica. She was behind on several things or confused. She did get the job done but I feel like it could’ve been done a week sooner. All in all tho a goid experience.

Helpful Critical Review

star star star_border star_border star_border

Tom Oliver

August 31st, 2022

DETAILS

check_circle

Review Source

Employees I dealt with were great. Steven and Stephanie were knowledgeable and efficient. New Americans Rate and Fee advertisements were VERY misleading and borderline merit false advertising. Great Experience, but at higher rates / fees than expected, advertised or available through other lenders. Will solicit for future projects and loans, but will shop around prior to committment.

Reviews for Quicken Loans

Helpful Favorable Review

star star star star star

Wendel Hamrick

September 7th, 2022

DETAILS

Our experience with Rocket was more than anticipated. Everything they said they could and would do went as expected. Communication with all departments was superb especially in a time that customer service is mediocre at best. They were all friendly and informative. Very timely and efficient in all phases. I would definitely Recommend Rocket Mortgage and hope to use them in the future.

Helpful Critical Review

star star_border star_border star_border star_border

Danielle Lessard, Ph.D.

September 27th, 2022

Worst experience buying a home. My file was switched between three mortgage bankers and all gave me completely different stories and rates. Prices changed weekly all the way to closing. The bankers did not know what they were doing and each time my file was moved I had to explain to them what was going on with my file the last I knew. I had to provide them with everything but a dna sample. One day everything was good and the next they couldn't do the deal. I was on pins and needles for over 45 days. I will never ever use this company again and I dont recommend anyone else use them either.

The Final Word

Mortgage lenders typically offer similar rates and services, so it can be difficult to compare and contrast companies. However, while New American Funding and Quicken Loans do offer similar products and services, certain factors distinguish them from each other:

Loan Types
Rates and Fees
Underwriting Process
Mortgage Programs and Guarantees
State Licenses
Customer Reviews

Loan Types

New American Funding and Quicken Loans both offer a variety of loan types, but depending on the specific type of loan you are looking for, one lender might be a better choice than the other. Both companies offer the following loan types:

  New American Funding Quicken Loans
Loan Types
  • Conventional Loan
  • Fixed Rate Loan
  • Adjustable Rate Mortgage (ARM)
  • FHA Loan
  • VA Loan
  • Reverse Mortgage
  • I CAN Mortgage (Customizable loan from 8–30 years)
  • Buydown Loan
  • Fixed Rate Loan
  • Adjustable Rate Mortgage (ARM)
  • FHA Loan
  • VA Loan
  • Jumbo Loan

Based on the table above, New American Funding would be the best choice if you’re looking for a wide variety of loan types, including some specialized loan programs, such as the I CAN Mortgage or Buydown Loan.

However, if you’re looking for a fixed-rate conventional loan, or perhaps a government-backed loan option, such as an FHA loan, both New American Funding and Quicken Loans would be a good choice. A decision between the two companies based on traditional mortgage products would be based more on the rate that you could get with either company; thus, it wouldn’t hurt to complete a pre-approval application with both companies to see what rates you’d get based on your finances.

Neither company offers a USDA loan product. This could be a drawback for borrowers looking to purchase a rural property. If you want a variety of mortgage loan options, New American Funding would be your choice. But, if you are looking for a jumbo loan, Quicken Loans offers this product. If you are looking for a conventional loan, either company would be a good choice, but it would be in your best interest to compare your rates with each company before deciding.

Rates and Fees

Both New American Funding and Quicken Loans provide daily update rates on their websites. While these rates may change daily, and even hourly, it appears that New American Funding generally offers rates that are approximately 0.3 percent lower than Quicken Loans (depending on the loan type). While this point difference may not seem like a big deal, saving any portion of a point in interest could save you thousands of dollars over the life of your mortgage loan.

The rates that are displayed on the New American Funding and Quicken Loans websites are the lowest available rates, which are typically only available to borrowers with excellent credit health, stable finances, and the ability to make a larger down payment (at least 20 percent). To see what rates you qualify for, you will need to complete a pre-approval application with either company.

Underwriting Process

New American Funding and Quicken Loans typically both use automated underwriting to either approve or deny a mortgage application. In some cases, your application may be referred to a manual underwriter who will review and analyze your finances and documents, resulting in a more personalized rate and final decision. New American Funding and Quicken Loans will try to assess individual situations and financial circumstances when making an approval decision through manual underwriting. However, manual underwriting isn’t necessarily the standard practice — it is generally reserved for specific cases.

Mortgage Programs and Guarantees

To make the mortgage process easier, and to also help borrowers save where they can, New American Funding and Quicken Loans offer specialized mortgage programs and guarantees.

New American Funding offers the following programs and guarantees:

  • On-Time Closing Guarantee — an average closing time of 35 days (industry average is 40 to 65 days)
  • Mortgage Assistance — if necessary, a variety of options/solutions to help you make payments and stay in your home

Quicken Loans offers the following programs and guarantees:

  • RateShield℠ Approval — lock your rate for up to 90 days
  • Good-Faith Deposit — make a deposit between $400 and $750 which will cover lender fees and closing costs
  • PMI Advantage Program — reduce or eliminate your private mortgage insurance (PMI) payments by increasing your interest rate or paying PMI as a one-time payment at closing (PMI typically applies if you make a down payment less than 20 percent)

State Licenses

Quicken Loans is licensed nationwide, but New American Funding is licensed in 49 states — New American Funding is not licensed to lend in Hawaii.

Customer Reviews

New American Funding and Quicken Loans both have more than 300 reviews on BestCompany.com. Based on these reviews, New American Funding has a much higher customer satisfaction rating with 96 percent of customers giving the company 5 stars.

Quicken Loans, on the other hand, has more mixed reviews with 58 percent of customers giving the company 5 stars, and 24 percent giving it 1 star.

New American Funding reviews typically highlight the following:

  • Exceptional customer service (frequently naming specific loan officers)
  • A quick and easy mortgage process
  • Competitively low rates

Quicken Loans reviews typically highlight the following:

  • Reliable customer service
  • A quick and easy mortgage process
  • Competitive rates

While positive reviews for both companies highlight the same factors, Quicken Loans complaints also outline poor communication and bad experience with customer service, as well as a lack of company transparency, including additional fees or costs popping up throughout the mortgage process.

Based on customer star-rating only, we would recommend New American Funding for your mortgage needs. But, Quicken Loans is the largest mortgage lender in the United States, and thus has a much larger customer base that will contribute to a wider variety of customer reviews.

Top Choice

New American Funding Logo
New American Funding

Frequently Asked Questions

Is Rocket Mortgage the same as Quicken Loans?

Yes, Rocket Mortgage and Quicken Loans are the same company. Quicken Loans recently changed its name to Rocket Mortgage, although QuickenLoans.com is still operational — you will be redirected to Rocket Mortgage, through which your home loan will be originated, processed, and closed.

Is New American Funding a broker or a lender?

New American Funding is a mortgage lender. The company is a Fannie Mae, Freddie Mac, and Ginnie Mae direct lender, selling and servicing loans in-house.

Does Quicken Loans sell its mortgages?

Quicken Loans may sell your mortgage. This is a common practice in the industry, but Quicken Loans takes pride in servicing the majority of loans that it originates.

How long does New American Funding take to process a loan?

New American Funding’s average time to closing is 35 days. This is much faster than the industry average of 40 to 65 days.

How long does Quicken Loans take to process a loan?

Quicken Loans will close on your loan in 30 to 50 days, a faster time than the industry average of 40 to 65 days.

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