Best Mortgage Lenders in New Mexico

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Contributor, Benzinga
April 15, 2020

New Mexico is a scenic state that’s rich in history. The state’s beautiful views, combined with great weather and affordable real estate prices, make it a perfect place to call home.

Take a look at Benzinga’s guide to the best mortgage lenders in New Mexico when you’re ready to buy.

Best Mortgage Companies in New Mexico:

The 6 Best Mortgage Companies in New Mexico

Choosing the right lender makes a difference in your monthly payments and your overall customer satisfaction. Start with our recommended lenders as you search for the best mortgage

1. Best for Bank Statement Loans: Angel Oak Mortgage Solutions

Angel Oak Mortgage Solutions is a full-service mortgage lender offering traditional and portfolio mortgage loans. Among their many customized loan solutions is their Bank Statement product for self-employed borrowers. This loan does not require tax returns and includes a 1099 Income option for 1099 earners in New Mexico. 

  • Loan amounts up to $3 million
  • 12 or 24 months personal or business bank statements
  • Two years out of bankruptcy, short sale, foreclosure, or deed-in-lieu
  • Owner occupied, non-owner occupied, second homes located in New Mexico
  • 1099 option available
  • 40-year fixed interest only
  • Delayed financing available
  • Non-warrantable condos allowed

Angel Oak Mortgage Solutions offers a wide range of loan options allowing you to obtain any mortgage as long as qualification requirements are met. New Mexico residents can also refinance into any of these loans. The customer service team is easy to reach via email, phone or the online contact form, and you can begin your journey by searching for a local advisor right on the website.

Angel Oak is headquartered in Atlanta, Georgia and is licensed in AL, AZ #0927070, licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act, CO, CT, DE, DC, FL, GA #32379, ID, IL, IN, IA, KS, KY, LA, ME, MD, MI, MN, MS, NV, NH, licensed by the N.J. Department of Banking and Insurance, NM, NC, OH, OK, OR, PA, Rhode Island Licensed Lender, SC, TN, TX, UT, VT, VA, WA dba AOHL LLC, WI.

2. Best Online Lender: Quicken Loans®

Quicken Loans® offers a quick and easy online mortgage process. The website’s interactive loan finder process will match you with a recommended mortgage type based on your needs. 

You can also use the online tools to estimate your monthly mortgage payments. Quicken Loans offers customer service support both online and by phone.

3. Best for First-Time Home Buyers: Wells Fargo

There are plenty of resources out there for first-time home buyers, and it’s important to work with an experienced lender. Wells Fargo offers a First Mortgage loan program for first-time home buyers and offers more than 150 years of experience. 

The First Mortgage program was created to help low-to-moderate income borrowers find an affordable solution to buying a home. It offers low down payment options and can even help with closing costs. You can reach Wells Fargo’s customer service team by phone and online. You can also visit a Wells Fargo branch for in-person assistance. 

4. Best for Self-Employed Professionals:

You may face even more confusion and challenges when you’re self-employed and starting the mortgage process. Better is an online lender committed to helping customers find a mortgage solution for almost any situation. 

Better will ask you to provide 2 years of business tax returns to show your income history rather than traditional documents such as a W-2. You can expect full transparency throughout the process with Better, and it’s easy to complete your entire online mortgage application at your own pace.

5. Best for FHA Loans: Freedom Mortgage

Take advantage of home buyer programs such as FHA loans with Freedom Mortgage. The lender will pair you with a loan officer to help you find programs that you qualify for. You can also rely on their guidance throughout the mortgage process. 

The website is comprehensive, so you can apply and find education resources you will need. Take a look today to review the requirements and benefits of an FHA loan.

6. Best for VA Loans: Veterans United

Veterans United is more than a mortgage lender for qualified service members and veterans. The staff is composed of former service members from all branches, so you can be sure your support comes from someone who understands your needs.

Its online tools can help you determine if you meet the qualifications for a VA loan, help you create your budget and estimate your monthly mortgage payments. Veterans United has your back no matter what you need with its 24/7 customer service. 

Mortgages Explained

The right mortgage type and term combine to help you meet your home buying goal. Mortgage types include conventional options, as well as government-backed mortgage programs. You’ll also need to choose a mortgage term, which is the length of time you’ll be making mortgage payments.

Mortgage Type

Take a look at the most common mortgage types to get an idea of what you qualify for before you apply for preapproval.

  • Conventional mortgages are a popular option for many home buyers. Each lender sets its own requirements to qualify for a conventional mortgage. You must meet a minimum income and a minimum credit score requirement. For most lenders, the minimum credit score requirement is 620. 
  • FHA loans are offered as part of a home buyer program managed by the Federal Housing Administration. The benefit of an FHA loan is that the credit score requirements are lower than conventional mortgages require. FHA loans also allow for lower minimum down payments than most other mortgage types. To qualify for an FHA loan, you’ll need to meet the requirements set by the Federal Housing Administration and your FHA-approved lender. 
  • VA loans are mortgages backed by the U.S. Department of Veterans Affairs. To qualify for a VA loan, you must meet the service requirements set by the VA. If you have a VA loan, you’ll be able to finance 100% of your home’s purchase price. You can also expect low interest rates. 

Mortgage Term

Your mortgage term reflects the amount of time you will commit to your loan. The length of your loan also affects the amount of interest you’ll pay over time and your monthly payment from day 1. 

  • 30-year fixed-rate mortgages allow you to lock in your mortgage rate for the lifetime of your loan. You will make monthly mortgage payments for 30 years. Expect a lower monthly payment than a 15-year fixed loan, but know that you’ll pay more interest over time.
  • 15-year fixed mortgage terms also lock in your rate, but you’ll make monthly mortgage payments for just 15 years. Expect higher monthly payments than a 30-year term because you’re paying off your mortgage in a shorter amount of time. But paying off your mortgage in a shorter period of time means fewer interest payments, so you’ll likely save money in the long term.
  • 5/1 adjustable-rate mortgage (ARM) offers a fixed interest rate for the first 5 years of your mortgage. After 5 years, your mortgage rate will be subject to change once per year until your mortgage term ends.

Which Mortgage Lender is Best for You?

Here are a couple of things to keep in mind as you choose your lender.

  • Mortgage type: The first thing you should look at when you’re learning about a lender is what mortgage types it offers. If the lender doesn’t offer the mortgage type you’re interested in, your time can be better spent researching other lenders.
  • Customer service: Some lenders offer a hands-off experience with your mortgage process 100% online. Other lenders take pride in providing a loan officer who can help you through your mortgage process. Consider what you’re looking for in your mortgage experience, and be sure your lender offers the customer support you need. Sometimes a trusted loan officer or agent can make all the difference.

Lender Credit Score Minimums in New Mexico

Lenders set a minimum credit score requirement you must meet to get approved for a mortgage. Your credit score can also impact the mortgage rate you receive. 

Your credit score is based on factors that are in your credit report. This includes your loan and credit card history, whether you make your payments on time and how much debt you owe.

LenderMinimum Credit Score Required
Wells Fargo620
Quicken Loans®620
Freedom Mortgage620
Veterans United620

Current Mortgage Rates in New Mexico

Be sure to pay attention to the mortgage rates each lender offers as you begin to compare providers. Remember, mortgage rates change frequently. Benzinga monitors mortgage rate fluctuations and frequently updates our tables to reflect the most recent data. 

Loan TypeRateAPR
30-year fixed N/A N/A
15-year fixed N/A N/A
7/1 ARM (adjustable rate) N/A N/A
5/1 ARM (adjustable rate) N/A N/A
Rates based on an average home price of $225,000 and a down payment of 20%.
See more mortgage rates on Zillow

Average Days to Close on a Loan

After you’ve placed an offer on your home and the seller accepts it, you’ll begin the closing process. Closing can be a busy time as you arrange an inspection and work with your lender to finalize your mortgage. 

Take a look at the average days to close for each recommended lender to get an idea of how long you’ll have to get it all done.

LenderAverage Days to Close
Wells Fargo90
Quicken Loans®30
Veterans United40 to 50

Take the Next Steps to Get a Home in New Mexico

When you’re ready to join the laid-back culture and adobe neighborhoods of New Mexico, start with the right lender to guide the way. 

Set your budget and goals and compare the loan types and rates each mortgage provider can offer. Take a look at our recommended lenders to buy your home in New Mexico.

Get Ready for Take Off

Rocket Mortgage® is an online mortgage experience developed by the firm formerly known as Quicken Loans®, America’s largest mortgage lender. Rocket Mortgage® makes it easy to get a mortgage — you just tell the company about yourself, your home, your finances and Rocket Mortgage® gives you real interest rates and numbers. You can use Rocket Mortgage® to get approved, ask questions about your mortgage, manage your payments and more.

You can work at your own pace and someone is always there to answer your questions — 24 hours a day, 7 days a week. Want a fast, convenient way to get a mortgage? Give Rocket Mortgage® a try.