Charlotte, NC-based lender Deephaven has rolled out a series of new non-QM products to enable brokers to serve more borrowers seeking non-agency loan options.
The non-QM mortgage lender said it aims to give mortgage brokers a head start on the competitive spring homebuying season through its so-called Spring Slam products. According to S&P Global’s forecast, non-QM issuance volumes may grow to around $25 billion this year, thanks to a strong purchase market and slowing refinancing activity.
“The upcoming homebuying season promises to be one of the toughest on record because of tight inventories and price appreciation, and highly qualified purchasers who don’t meet government thresholds will be scrambling to participate. This expands opportunities for brokers to grow their non-QM borrower base quickly,” said Jeff Burrus, senior vice president of wholesale sales and operations at Deephaven Mortgage.
The new products, which already have a secondary market of Deephaven investors according to the company, features “highly favorable” LTV (loan-to-value ratio) and FICO combinations, including:
Expanded-prime:
- 90% LTVs and FICO scores to 660 for home purchases, as well as rate-and-term refinancing for primary homes
- 80% LTVs on a cash-out primary home down to a 680 FICO
Non-prime:
- 85% LTVs on a purchase or rate-and-term, down to a 700 FICO
- 80% LTVs on a purchase or rate-and-term, down to a 640 FICO
DSCR (Debt Service Coverage Ratio):
- 80% LTV on a purchase or rate-and-term, down to a 700 FICO
- 70% LTV on a purchase or rate-and-term, down to a 660 FICO
In anticipation of high demand for its new offerings, Deephaven is looking to fill several wholesale mortgage positions.
