Nationstar Mortgage Holdings Inc. (NYSE: NSM) originates and services loans for buyers of single-family homes in the United States. As of March 31, 2016, the company had over 2.5 million customers and a portfolio of over $386 billion in unpaid principal balance.

What Nationstar Mortgage Is

Nationstar Mortgage is based in Dallas, Texas, and it operates in three business segments: servicing, originations and Xome. The servicing business operates one of the largest independent loan service groups in the U.S. This division services loans that the company originates and the mortgages that the company purchases. The originations division operates a loan origination platform for prime agency and government-conforming home loans. Nationstar Mortgage originates home loans in 49 states and Washington, D.C. The Xome division offers a variety of real estate services, including title, close, escrow, valuation and asset management services.

Mortgage Products Offered

Nationstar Mortgage offers six types of loans to its customers: fixed-rate loans, adjustable-rate mortgages (ARMs), Federal Housing Administration (FHA) loans, Veterans Administration (VA) loans, jumbo loans and U.S. Department of Agriculture (USDA) loans.

Fixed-rate loans have interest rates that remain the same for the lives of the loans. Fixed-rate loans are ideal for consumers who want to be able to budget their monthly mortgage payments accurately. With fixed-rate loans, the monthly payments of principal and interest never change.

ARMs offer low initial interest rates for predetermined periods of time. At the end of these periods, the rates fluctuate periodically and are generally higher than the initial rates. ARM loans may be ideal for borrowers who plan to stay in their homes for short periods of time.

Nationstar Mortgage offers both fixed- and adjustable-rate FHA loans to qualifying borrowers. FHA loans are government-insured and have lower down payment and credit requirements than traditional loans. FHA loans can also be used to refinance existing loans.

The company offers VA loans to qualified military personnel, veterans and their spouses. VA loans are fixed-rate and have lower interest rates than other loans. The company offers VA loans to customers purchasing new homes and customers refinancing existing loans.

Jumbo loans are for larger mortgages that exceed the conforming loan limits set by the Office of Federal Housing Enterprise Oversight to be guaranteed by the Federal National Mortgage Association, also known as Fannie Mae (OTC: FNMA) or the Federal Home Loan Mortgage Corp., also known as Freddie Mac (OTC: FMCC). Nationstar Mortgage offers both fixed- and adjustable-rate jumbo loans up to $2 million.

USDA loans are products designed for buyers of rural properties. These loans require no down payments and have flexible terms. Loan amounts may include home repairs.

Mortgage Rates

Nationstar Mortgage advises borrowers to contact a mortgage professional at the company for specific interest rate information. The company has a form on its website that customers can fill in to get customizes rate quotes. In addition, the company offers several calculators on its site for estimates for monthly payments. The calculators input hypothetical interest rates based on different lending scenarios and provide a general idea about the costs of different mortgages. The calculators cover loan amounts, debt consolidation, mortgage payments, tax savings and refinance.

What Consumers Are Saying

Nationstar Mortgage receives mostly positive customer reviews of its products and services. The company has more than 5,479 reviews on the ConsumerAffairs.com website, 1,773 of which provide ratings for the company. The company received five-star ratings from 66% of reviewers, four-star ratings from 12%, three-star ratings from 5%, two-star ratings from 4% and one-star ratings from 13%. Overall the company has a four-star rating on the site.

The company also has positive reviews on LendingTree.com. The website has 1,395 reviews for the company with an average rating of 4.2 out of five stars. The company has good ratings for interest rates, customer service and responsiveness and an average rating for fees and closing costs.

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