Mr. Cooper Reviews
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About Mr. Cooper
Mr. Cooper is a nonbank mortgage lender and a registered service mark of Nationstar Mortgage (NMLS #2119). It offers conventional and government-backed purchase and refinance loans and publishes its current rates online every day. It also provides convenient calculators to help you figure out how much you can afford to borrow, how much house you can afford and how much you can save by refinancing. Mr. Cooper is licensed to operate in all 50 states as well as Washington, D.C., Guam, Puerto Rico and the U.S. Virgin Islands.
- Online pre-qualification tool takes minutes
- Online loan tracking
- On-time closing guarantee
- Pays local moving costs in some areas
- No locations for in-person service
- No USDA loans
Featured Reviews
Rates
Mr. Cooper publishes its current rates for 15- and 30-year fixed-rate conventional loans and 30-year fixed FHA loans on its website. These rates are updated daily, given that mortgage rates are always changing.
From 2019 to 2021, the company’s average rates for home purchase loans have been slightly higher than the national average. In 2021, the average rate for homebuyers who went through Mr. Cooper was 0.06% higher than the national average.
Mr. Cooper average home purchase rate vs. national average
| Year | Difference from national average |
|---|---|
| 2021 | +0.06% |
| 2020 | +0.35% |
| 2019 | +0.36% |
Mr. Cooper offers fixed-rate loans and adjustable-rate loans. Because mortgage rates have been higher than normal in 2022, many borrowers are now considering adjustable-rate mortgages. These loans typically have a set interest rate for the first three to 10 years of the loan, but the rate continually resets once that period is over.
When rates are lower, it often makes sense to go with a fixed-rate loan so you can lock in an ideal rate. However, when rates are higher, it might make sense to go with an adjustable-rate loan, especially if you can sell or refinance before your rate begins to change.
As you search for a mortgage company and compare rates, be aware of the difference between an interest rate and an annual percentage rate (APR). An APR is a better measure of the total cost of a loan because it includes not just your interest rate but also additional fees, such as discount points, loan origination fees and other charges.
Application process
Mr. Cooper does not have local branches, but it offers online tools and access to your loan agent online and by phone. You can apply online, and Mr. Cooper offers several other features to help in the homebuying, mortgage application and closing processes, like
- Pre-qualification within minutes for most borrowers
- Agent Assurance, which connects you with local real estate agents
- The StreetSmarts house searching tool
- The Mr. Cooper mobile app for accessing loan documents, making mortgage payments and accessing financial education materials
- A digital loan tracker that lets you follow the process from application to closing
- The Close On Time Guarantee, which covers your first month’s mortgage payment if Mr. Cooper misses your scheduled closing date
- The Zero Dollar Move program, which pays for your move (up to 50 miles) if you buy a home with a Mr. Cooper loan
Mr. Cooper application features
| Features | Availability |
|---|---|
| Online application | |
| Mobile document upload | X |
| Physical branches | X |
| Publishes minimum rate on website | |
| Rate lock | 45 days |
| Pre-qualification (no hard credit pull) | |
| Certified approval letter |
Loan types
Mr. Cooper offers both home purchase loans and refinance loans, and they are available with fixed or adjustable rates.
Conventional loans have made up the majority of Mr. Cooper’s originations during 2020 and 2021, according to Home Mortgage Disclosure Act data submitted by Nationstar Mortgage. However, the company also originates FHA purchase loans, FHA streamline refinance loans, VA purchase loans and VA IRRRLs (interest rate reduction refinance loans).
Mr. Cooper doesn’t offer USDA loans. If you’re interested in a USDA loan, check out our guide on USDA-approved lenders.
In 2021, Mr. Cooper closed on 4,842 home purchase loans out of a total of 6,641 home purchase applications (73%).
Loan applications for home purchases only by year
| 2021 | 2020 | 2019 | |
|---|---|---|---|
| Home purchase applications | 6,641 | 7,216 | 19,299 |
| Home purchase loans closed | 4,842 | 4,497 | 12,806 |
| Home purchase applications denied | 411 | 1,261 | 3,270 |
| Home purchase preapprovals denied | 0 | 0 | 0 |
Refinancing
More than half of the mortgages originated by Mr. Cooper in 2021 and 2021 were rate-and-term refinance loans, with cash-out refinances being its second most popular option.
During the same years, only about 3% of loans originated by Mr. Cooper were home purchase loans. This trend toward refinancing was common in the industry; because rates were so low in 2020 and 2021, many homeowners opted to refinance.
Home purchase vs. refinance loans by year
| 2021 | 2020 | 2019 | |
|---|---|---|---|
| Home purchase loans | 2.77% | 3.13% | 15.69% |
| Refinance loans | 62.63% | 74.75% | 41.11% |
| Cash-out refinance | 34.47% | 21.95% | 42.97% |
Requirements
Mr. Cooper does not publish specific requirements for borrowers, but representatives told us the lender follows loan requirements from Fannie Mae and Freddie Mac for conventional loans.
Conventional mortgages that conform to these standards typically require a credit score of at least 620, a down payment of at least 3% and a debt-to-income (DTI) ratio of 45% or lower. Nonconforming conventional loans, like jumbo loans, often have different requirements, though.
Government-backed loans, like FHA and VA loans, generally have less strict requirements than conventional loans. You can get approved for an FHA loan with a credit score as low as 500, but you need a score of 580 or higher to qualify for a 3.5% down payment. You can get a VA loan with no down payment.
If you’re unsure of whether you can afford a loan, Mr. Cooper does offer calculators to estimate how much house you can afford, potential mortgage payments, the cost of renting versus buying and how much you could save by refinancing.
National mortgage requirements by type
| Min. credit score | Min. down payment | Compare with other lenders | |
|---|---|---|---|
| Conventional | Typically 620 | Typically 3% | Mortgage lenders |
| FHA | 500 | 3.5% with 580 credit score | FHA lenders |
| VA | Set by lender (often 580) | 0% | VA lenders |
Cost and fees
Mr. Cooper does not publish its fees online. However, according to a Mr. Cooper representative, origination fees on typical conventional conforming loans are $1,500. Additional fees vary based on your type of loan, your down payment amount, the type of property and other factors.
If you apply, the company is legally required to send you a Loan Estimate within three business days of receiving your loan application. This document shows your estimated interest rate, closing costs and monthly payment amount.
FAQ
How does Mr. Cooper work?
You can start the preapproval process with Mr. Cooper by calling or filling out a form online. Once you provide details about your identity and finances, Mr. Cooper does a soft credit check and provides a preapproval letter showing an amount you generally qualify to borrow. If you’re further along in the process and ready to make an offer, you should seek “verified approval,” which requires a more detailed check of your income and assets and gives you an approval letter to show the seller. Once your offer is accepted, you formally apply for a loan and lock in your interest rate.
Is Mr. Cooper legit?
Mr. Cooper is one of the largest mortgage originators in the U.S. and had 3.9 million customers around the country as of March 2022, according to investor information provided by the company.
Where is Mr. Cooper available?
Mr. Cooper is licensed in all 50 states, Washington, D.C., and several U.S. territories, including Guam, Puerto Rico and the U.S. Virgin Islands.
Mr. Cooper Reviews
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- 4,643,722 reviews on ConsumerAffairs are verified.
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- We use intelligent software that helps us maintain the integrity of reviews.
- Our moderators read all reviews to verify quality and helpfulness.
Reviewed April 10, 2025
Dealing with Mr. Cooper is an example of service at the lowest level. I am in the position to close the affairs of a deceased Family member who choose Mr. Cooper as their mortgage company. I called Mr. Cooper and clearly explained my position as executor of the estate. I sent in the requested documents and received a letter stating I am added to the account. I called Mr. Cooper today and advised I can not receive any I information unless I refinance the loan. I spoke to three reps and sent the requested information by email. Save yourself some time and do not deal with Mr. Cooper. I desire to give a ZERO star rating because that is the level of help received.
Reviewed April 9, 2025
I have had the unfortunate experience of having my mortgage loan bought out by Mr Cooper, and they are by far the worst in every way. First, they failed to pay my homeowners insurance (despite being set up correctly to come from escrow), they then failed to notify me of this until AFTER my current insurance was cancelled. I attempted for two full days to speak with a live representative but their automated system is set up to ensure you do NOT get to speak to anyone. I only had success getting a live person when I lost my temper and the automated system could no longer understand me. I also attempted to live chat - which kept giving me a message saying no one is available at this time - try again later. This was something I could not handle through an automated system or online - I needed to speak to someone to clarify what was happening.
When I finally got through, the "gentleman" I spoke to was condescending and insinuated this is MY responsibility (also blamed State Farm insurance), despite admitting that Mr Cooper did receive the proper invoice and could not tell me why it was not paid. After being escalated, I was told that I will be fully responsible for the time period in which my insurance had lapsed and that despite it being their fault. The blame was consistently put back on me. I asked if it would be better if I paid my own insurance rather than relying on them and was told this was NOT recommended. So the company won't pay your insurance for you as promised - but they do not recommend you doing it yourself. If you have a choice - STEER CLEAR!
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Reviewed April 7, 2025
I have been ‘trapped’ in a relationship with Nationstar a.k.a Mr Cooper for about 17 years when they bought my mortgage. They are a debt collector company that was successful enough to branch into a mortgage lender but never stopped with the aggressive debt collector attitude with filters into their agents. If it wouldn’t cost me thousands to refinance with a different lender, I would have years ago. I have never been late but have always been treated like a second class low life dead beat when I call in. It takes days to speak with a supervisor IF YOU CAN GET ONE TO CALL YOU BACK. I highly recommend avoiding doing business with Nationstar a.k.a Mr Cooper.
Reviewed April 1, 2025
Ever since my mortgage servicing company was switched to Mr. Cooper, I have experienced the most frustrating situations with their customer service. It is almost as if they don't even exist. I say this because I have tried every possible way to communicate with someone regarding an issue, and no matter how many different numbers I've tried, from the ones they provide to the ones I've found online, you are sent into a never-ending cycle of options, none of which really apply to your situation. After spending over 20 minutes pressing the options that they provide and being led from one option to another, the system hangs up on you when you press zero to try to speak to a real person. How is this company in business? I repeat, how is this company still in business?
The reason is that no one chooses to take their business to Mr. Cooper; you are sent there by your mortgage company and you have no say in the matter. At the end of the day, as consumers, we all lose. This company is a disgrace to the meaning of a service company. I say this to warn anybody not to go to them, but we really don't have a choice, do we? They are not even BBB accredited and, of course, they don't need to be because they don't care about their reputation with the public! Someone needs to do something.
Reviewed March 31, 2025
The customer service line has no way to direct you to a live team member, the complaint form covers the Submit button with a live chat option, and their live chat option kicks you off because all team members are busy.
Reviewed March 28, 2025
There's really only one issue that I've had over and over again. I often send in extra money to go towards the principal when I send in my monthly mortgage amount. Each time they have promised they will put in my file that all excess money I send in will go towards the principal. Instead they will frequently take out two mortgage payments, and then apply the left over towards the principal. This provides them money in interest that wasn't actually earned. I frequently have to call them to get this corrected.
After the last time this happened, I wrote a letter of complaint and emphasized that doing this over and over comes across as very shady. I was told in a response that they can legally do that if they want. I was again assured that it wouldn't happen anymore. My purpose in writing this is to give a heads up to anyone who also sends in extra money to be applied towards the principal. You just need to make sure that they actually apply your payment as you want it applied, so double check each time once they confirm your payment has been received.
Reviewed March 25, 2025
Couldn't get a real person by phone. Just a runaround by a phonebot and the customer service person online could not answer a very basic question, which was simply about what do they have the appraised value of my home. Very questionable.
Reviewed March 20, 2025
I have had terrible experiences with Mr. Cooper overall;
- Poor communication and frequent administration mix-ups.
- Frequently sales and marketing calls regarding refinance.
- A security breach exposed my SSN and thousands of others to Dark Web (while MR. Cooper did offer 1 year subscription with cut-rate credit and identity protection firm, I dis not feel that this remedied the exposure and was really too little too late.
I did not choose Mr. Cooper; Twice now they have purchased my home loan from a servicer I had chosen originally--BofA and Wells Fargo). While this is common practice, I am not sure how I keep getting stuck with "Mr. Cooper".
Reviewed March 19, 2025
It’s a worst mortgage company to deal with. My bank sent payment to Mr Cooper but there was no credit on my account. I tried to call Mr Cooper but You can never reach a real person on the phone. The automated phone system plays circles forever. It’s a terrible experience.
My name is Kalie Ezenwa, and I am with Mr. Coopers Executive Response Team. I wanted to follow up and acknowledge that I received your Consumer Affairs Review.
Thank you for reaching out and sharing your frustration. We understand how important it is to be able to connect with us when you need assistance, and we apologize for the difficulties you’ve been experiencing.
Reviewed March 13, 2025
I wish this company would go away. One star rating is one star too many. ZERO customer service. I've spent hours trying to get an issue with my escrow resolved and have been unable to get ahold of somebody. I ended up filing a complaint with the attorney general. My recommendation is to avoid them at all costs, and to put a clause in any new mortgage paperwork prohibiting selling your loan to them.
Sources
- Federal Financial Institutions Examination Council, “ HMDA Data Publication .” Accessed July 13, 2022.
Mr. Cooper Company Information
- Company Name:
- Mr. Cooper
- Company Type:
- Public
- Address:
- 8950 Cypress Waters Blvd
- City:
- Dallas
- State/Province:
- TX
- Postal Code:
- 75019
- Country:
- United States
- Website:
- www.mrcooper.com