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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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- 4,592,094 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 Jan. 9, 2025
This is the second year in a row they complete an Escrow analysis and tell me my monthly payment is going to go up again by $100.00 because I have a shortage and I can't get anyone to give me a rational explanation and that is IF, and a big if, I can get anyone from customer service on the phone. I have over $1400.00 on Jan 1, 2025 in my Escrow account (I add some every payment). They tell me I need to have a minimum of $527.88 in that account at all times and I have never fallen below yet they raise my monthly claiming I will be $443.27 short.
So, I pay the $442.27 into escrow and then they tell me it is going up because my taxes and insurance are going up....yet my taxes have decreased by $6.33 and my insurance is still $1907 annually. I asked if they were going to raise the rates and they said nope, not this year. So, again I am lost trying to get an answer from Mr. Cooper as to when my escrow account will will drop below $527.88 during 2025 and I get crickets. I have never had a problem with a lender like these folks at Mr. Cooper. If by the grace of god you can get someone on the phone they are rude, dismissive and then can't explain to you a simple mathematical outcome. I would stay as far away from these folks as you can. You will get better service at the DMV.
I will then conduct a thorough review and follow up with you privately regarding a resolution.
Sincerely,
Customer Relations Team
Reviewed Jan. 4, 2025
Cannot get a custom message through via voice message, email, or any other manner except by US Mail. They deposited a check but did not record it. They mistakenly recalculated the escrow payment and it tripled using wrong data. I did not select this provider. They bought out the mortgage that I purchased from another lender.
We’re sorry to hear about your experience and understand how frustrating this situation must be. For assistance with your concerns, please contact our Customer Service Department at 833 - 685 - 2566. They will be able to review your account and help resolve these issues. Thank you for bringing this to our attention.
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Reviewed Jan. 3, 2025
Unfortunately my mortgage was taken over by Cooper (not by my choice) and they have ruined me financially. Ever since I bought my house I have always paid my own taxes (on time - never defaulted) rather than through an escrow. It saved me a lot of money doing so since I did not have to pay a high interest rate on taxes and it kept my monthly payments low.
When Cooper recently took over my mortgage they created an escrow and took it upon themselves to pay my property taxes - thereby almost doubling my monthly mortgage payments. I am now having to put my house up for sale and live in a HOTEL because of Cooper screwing up my finances. I always get an end of year bonus from my job that I use to pay my taxes. Way to go Cooper - thanks to you I am losing the house that I have lived in for almost 20 years with NEVER making a late or missing payment.
Kalie Ezenwa
Community Manager
You are welcome to call us at 888-509-2432. Since it's a small team, we are here Monday - Friday from 8 am to 5 pm CST. If there's something I can assist you with, I'm happy to help. Thanks!
Reviewed Dec. 26, 2024
Mr Cooper has asked for my insurance info over and over (the same company I have had since inception of the loan from Bank of America that sold to Nationstar/mr cooper) - I have mailed, it emailed it, certified mailed it, uploaded it. And yesterday I now get another email from them saying they are Force Placing insurance so they can make money off of that - very peculiar that they do this all of a sudden after all these years (HMMM - motive? - I think we all know that). When you call customer service - you can NOT talk to anyone. Just get recorded information, the Chat area is useless as it is a robot, when you try to create a help ticket you can NOT upload anything. Never experienced such a NON compliant company for customer service - so now onto making formal complaints with the appropriate agencies.
Kalie Ezenwa
Community Manager
You are welcome to call our escalations line at 888-509-2432. Since it's a small team, we are here Monday - Friday from 8 am - 5 pm CST. If there's something I can assist you with, I'm happy to help. Thanks!
Reviewed Dec. 19, 2024
I was notified that Mr. Cooper had purchased my mortgage loan from my previous mortgage company. On 18DEC2024 I was contacted by Mr. Cooper to inform me that my payment (my very first for this new mortgage) was late. I received the voicemail and I made a considerable amount of attempts to contact them to resolve the issue. No way to get a hold of a live operator. Made additional attempts to contact them on 19DEC 2024. Again, after spending hours trying to get to a LIVE OPERATOR to assist me. NOTHING! Each and EVERY time I was hung up on by the automated system. This is my first payment for this mortgage and the LAST time I will ever be put in this situation.
In over 30 plus years of working with mortgage companies, not one time, NOT ONE have I ever experienced something like this. I'm actually embarrassed for them that they run a company so unprofessionally and disgusting like this. It is obvious that there are issues considering the amount of bad reviews that can be seen online. I've seen one site that are favorable to them which may be questionable considering the amount of negative reviews. I will neither recommend this company or do business with them EVER again once I have left them. I will be refinancing with another more reputable mortgage company. COOPER IS THE WORST!!!!
Kalie Ezenwa
Community Manager
You are welcome to call our escalations line at 888-509-2432. Since it's a small team, we are here Monday - Friday from 8 am - 5 pm CST. If there's something I can assist you with, I'm happy to help. Thanks!
Reviewed Dec. 13, 2024
You cannot speak with any human for a unique problem they create. Literally have not switched insurance companies. They said my policy is expired (when it’s just a new yr. Renewed) then I submit the declaration online, yet MY INSURANCE IS THREATENING TO CANCEL MY POLICY BECAUSE THEY ARE NOT PAYING OUT OF MY ESCROW ACCOUNT AS REQUIRED. And you can’t get ahold of anyone. I have had over 12 mortgage companies and there should be laws in place for how terrible this one is. I should have to spend hours on the phone and online every yr. Trying to get them to pay either taxes, or insurance FROM MY ESCROW ACCOUNT. Stay very clear. And if your loan transfers here, hopefully your interest rate is close so you can refinance to get away from them.
Thank you for reaching out to share your concerns, and I sincerely apologize for the challenges and frustration you’ve experienced. I understand how stressful it must be to manage an issue like this, especially when it impacts your insurance coverage.
To address your concerns:
If your insurance renewal documents have already been submitted, our team should process them promptly and ensure payments are made from your escrow account as required. I will escalate this matter internally to verify the status of your insurance payment and resolve any delays to prevent further complications with your policy.
Please know that your feedback regarding the difficulties in contacting our team and managing your escrow account is being taken seriously. We are committed to improving your experience and making these processes more seamless in the future.
If you have any additional details to share or need immediate assistance, please reply to this email or contact us at 888.480.2432. We are here to help and resolve this as quickly as possible.
Reviewed Dec. 9, 2024
I am trying to make a principal payment in the app and I can't, I call customer services and the system doesn't have the option to make the payment and never communicates with a representative, very poor customer service.
Thank you for bringing this to our attention, and I sincerely apologize for the frustration you’ve experienced while trying to make a principal payment.
Currently, the app does not support direct principal payments, and I understand how inconvenient this is. I also regret that you were unable to connect with a representative for further assistance. Your feedback is valuable, and I will escalate this issue to ensure it is addressed.
To make a principal payment, you can log in to your account at www.mrcooper.com, where this option is available. Alternatively, you can contact our customer service team directly at 888.480.2432 for personalized support.
We are committed to improving your experience and appreciate your patience as we work to resolve these challenges.
Customer Relations
Reviewed Dec. 8, 2024
Mr. Cooper mortgage is a mess. They have screwed up my escrow account and entered the incorrect information into their systems. My escrow account produces a shortage after they paid out my tax bill. My escrow account was due for review instead of fixing the amount they decided to keep it the same and keep then shortage going. None of the escrow representatives were able to do the math. Me being a business major was more competent at doing the math than their company that specializes in it. This company is a disgrace and un-organized.
They often tell you different things when you speak to different people. I record all my calls for this reason and will be taking legal action against them. I will also be reporting my issues to Freddie Mac because this lender needs to be suspended from making new loans. They know how to rip people off. Do not work with this lender. Unfortunately mine was sold to them. I will be requesting a transfer of lenders and for my loan to be sold off. I will see Mr. Cooper/North Star in court.
Nicholas -
Thank you for reaching out and sharing your concerns. I’m truly sorry to hear about your experience and the frustrations it has caused. We take issues like this very seriously and want to ensure your concerns are addressed properly.
For further assistance, I recommend contacting Mr. Cooper’s Customer Service team directly at 888-480-243*. Their representatives can review your escrow account details, address any discrepancies, and work toward a resolution.
If you need additional support navigating this process or have further questions, please don’t hesitate to let us know.
Best regards,
Reviewed Dec. 6, 2024
Fact: Keep this in mind when you look at MR. Cooper. They will not call, email or text you if your payment goes up. If you are like most people, you more than likely to put your payment on auto pay for peace of mind. As you can tell where this is going taxes did go up and was not notified of such my payment did go out and cashed. Cashed but not put towards my payment. They held on to my money for 30 days until I got a late payment which in my history have never had. Not only a late payment but also got a ding on my credit. Over 100 points from 810 to 702 for $60 that my taxes went up. Wonder how much money they made on my payment they didn't put towards my account. All I can say is very cautious if you have this so called financial institution. Many of us don't have a choice when they buy up loans and stuck with them. Still looking to find a way to fix my credit.
Matt -
We sincerely regret the experience you’ve had and the impact on your credit score. Escrow-related changes, such as tax increases, can understandably be frustrating. At Mr. Cooper, we strive to provide clear communication about payment changes, and it appears we fell short in this instance.
We’d like to investigate your case further to address your concerns and explore ways to assist with resolving the credit impact. Please reach out to us directly at 888.509.2432 or email us at executive.office@mrcooper.com.
Your feedback helps us improve, and we’re committed to making things right.
Sincerely,The Mr. Cooper Team
Reviewed Nov. 23, 2024
I stared at this screen for a few minutes because I don’t know how to express my complete disdain for this disgusting and inept company. They prey on people that are facing hardships, especially veterans. They lie over and over again, and they refuse to work with you. I was on a special forbearance after becoming disabled where I’m unable to work. I’ve kept in contact with them giving them updates at least 2-3 times a month. Loss mitigation department stated to me numerous times when I get my ssdi retro pay I can pay the arrears. This past April I was awarded full disability after approximately 2.5 years as well as I am 100% p&t disabled veteran. I received my ssdi retro in July.
I contacted Cooper to pay the arrears and was advised they will not accept any payment because I’m now in foreclosure. I was then advised by cooper I could submit an application for a loan modification. I submitted the loan modification application and they kept rejecting saying I’m missing paperwork when the paperwork was clearly sent with the rest of the attachments. I then retained legal counsel in which the law office recommended me to a non profit loan modification specialist that handled the application for me. The new loan mod application was sent to cooper on 20 September, and I was notified last Friday, 11/15, that I was denied the loan modification.
I contacted the VA in which they advised me of a new program called “VASP” in which I meet all of the criteria. The VA stated there was no VASP application sent from cooper to the VA in which they’re required to do. The VA advised me to contact cooper back to let them know the application was never received. I contacted cooper back yesterday and loss mitigation stated they haven’t sent the application to the VA as they are trying other approaches for a loan modification. I contacted cooper again today to get an update on the application and was advised I was denied on 11/15, and that the VA denied VASP. Cooper stated they sent the application in on the 15th and they already received correspondence from the VA resulting in a denial!?
I was advised by the VA it takes at least a month to go through. Cooper also stated the only way I can stay in my house is to pay $40,000 with almost 12,000 of that is coopers “late fees and charges”. I contacted the VA back and advised them of what I was told and I asked the VA representative why can’t cooper take the arrears divide it over 30 years of my mortgage and add that to my monthly payment. 30000\360= 83.33. So an additional 83-84 dollars a month on my mortgage payment. The VA representative stated there is no reason why they can’t or won’t do that. I contacted cooper back and explained I am more than willing to have my monthly payment increased to cover the arrears. Cooper's representative stated “no! You must pay the 51,000 to get current or you will be foreclosed on!”
So this inept company would rather throw someone on the street to take their house rather than work with and help their customers. I never even asked to be a customer of cooper's unethical business. I was forced to be. This company needs to be investigated to the fullest! Stay far far away from this company! They will milk you and milk you to where you can’t afford it then take your house from you.
Kalie Ezenwa
Community Manager
You are welcome to call our escalations line at 888-509-2432. Since it's a small team, we are here Monday - Friday from 8 am - 5 pm CST. If there's something I can assist you with, I'm happy to help. Thanks!
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