Sun West Mortgage Company Reviews

Sun West Mortgage Company does not publish its starting rates online, but Home Mortgage Disclosure Act (HMDA) data shows that its average rates do tend to be just above the national average.

Sun West Mortgage Company offers both fixed-rate and adjustable-rate mortgages (ARMs). Most borrowers prefer fixed rates because it’s easier to budget for a monthly payment that won’t change. However, ARMs often get more popular when mortgage rates rise.

With an ARM, you’ll generally have a low fixed rate for an initial period, typically three to 10 years. After that, the rate will reset and adjust occasionally according to market conditions. This means that your rate may increase and raise your monthly payments.

Sun West Mortgage Company average home purchase rate vs. national average

You can start the application process by visiting Sun West Mortgage Company’s website and starting an application. The site will prompt you to complete a contact form with your name, email address, phone number and state of residence. From there, a loan officer will contact you to assist you through the application process.

Before you speak to your loan officer, it may be helpful to gather the following documents:

• Two prior years’ tax returns
• Recent pay stub
• Bank account statements
• Retirement account statements

Your loan officer will ask you questions about your income and assets, so having this information handy could help speed up the process.

Once you complete the application (including satisfying all conditions), you could receive a decision the same day.

Sun West Mortgage Company application features

Sun West Mortgage Company offers several different loan options, including conventional loans (with fixed or adjustable rates), FHA loans, VA loans, USDA loans and jumbo loans (conventional loans that exceed conforming limits). Fixed-rate mortgages are available in the following loan terms: 10, 15, 20, 25 and 30 years.

Sun West Mortgage Company also offers reverse mortgages (for borrowers age 62 or older), home renovation loans and small business loans (which can be used to purchase properties with five or more residential units).

After 2019, Sun West Mortgage Company saw a significant increase in home purchase applications, which more than doubled from 2019 to 2020.

In 2021, borrowers initiated 13,641 home purchase applications with the company. About 7% (924) of applications were denied, which is a slightly lower denial rate than the 8% industry average. Ultimately, about 67% (9,131) of home purchase loan applications made it to closing.

Loan applications for home purchases only by year

Refinancing

With Sun West Mortgage Company, you can refinance your existing mortgage whether you are looking to secure a lower interest rate or get cash out. In 2021, about 68% of loans the company originated were for refinancing (with rate-and-term and cash-out refinances combined). About a third of loans (31%) were for home purchases.

Refinances became more popular in 2020 and 2021 as mortgage rates fell to historic lows. In January 2021, 30-year fixed average rates bottomed out at 2.65%, according to the Federal Reserve Bank of St. Louis.

Rates rose sharply during 2022. As of September 15, 2022, the average 30-year fixed rate sat at 6.02% — over three percentage points higher than the average at the same time in 2020. Fewer borrowers are expected to refinance in 2022 for that reason.

However, you may still consider refinancing if it helps you achieve your financial goals or saves you money. For example, you may consider a cash-out refinance if you plan to pay for a large purchase or emergency expense.

However, it may not make sense to refinance if your new rate will be higher than your existing rate, especially since you’ll have to pay closing costs on your new loan. Consider other means of accessing funds, like home equity lines of credit (HELOCs), home equity loans or personal loans, before you decide to refinance.

Home purchase vs. refinance loans by year

HELOC and home equity loans

According to a company representative, Sun West Mortgage Company does offer HELOCs, but there is no information about them on the company’s website. It’s unclear whether the company offers home equity loans as well.

Generally speaking, you’ll need at least 15% equity in your home to qualify for either a HELOC or a home equity loan, but Sun West may have different requirements.

Like a cash-out refinance, a home equity loan can be a good option when you need a lump sum of cash. On the other hand, a HELOC is generally better when you need access to cash over time or you’re not sure how much you’ll need. Some potential uses of a HELOC include paying for recurring education expenses or completing extended home improvement projects.

Sun West Mortgage Company discloses some of its borrower requirements online. We’ve included what we could find on common types of home purchase loans in the table below.

While the company does not state its minimum credit score requirement for conventional loans, you’ll likely need a score of 620 to qualify based on industry norms. You’ll also need to offer at least a 3% down payment (most down payments on conventional loans are higher).

FHA loans and VA loans from Sun West have lower credit score requirements (500 or higher). However, if your credit score is less than 580, you’ll need to offer a 10% down payment on an FHA loan instead of the 3.5% minimum. VA loans and USDA loans do not require down payments.

Sun West Mortgage Company mortgage requirements by type

Sun West is more transparent about its requirements for jumbo loans, stating that borrowers need credit scores of 660 or higher, debt-to-income (DTI) ratios under 43%, and proof of accessible cash on hand.

Sun West charges a flat $995 underwriting fee on all loans except streamline refinances.

Fees like this are part of the closing costs you’ll pay for a new mortgage. Borrowers generally spend between 2% to 5% of the loan amount on closing costs. Other closing costs include third-party services (like the appraisal fee or title search fees) and prepaid items (like mortgage insurance premiums or real estate taxes).

After you apply for a mortgage, you should receive a Loan Estimate, which details the closing costs you can expect on your loan. You’ll also receive a Closing Disclosure that finalizes all closing costs three business days before your closing.