The non-QM market has expanded dramatically in recent years and will be more critical than ever as a result of developments such as the transition to buying, the expanding gig economy, and single-family rental investment. You have the chance to provide loan products to underserved customers such as self-employed professionals, foreign nationals, high net worth people, and those with bad credit.
The non-qualified mortgage (non-qualified mortgage) market is thriving. Despite the increased demand for Non-QM mortgage programs and products, there is still a lack of popular knowledge and understanding of Non-QM loans; why they exist; who they are for; why non-QM is important for brokers; and what distinguishes the best Non-QM brokers from the rest.
Mortgage financing, whether QM or Non-QM, is complex since there are so many moving pieces. The application and approval procedures can be lengthy and, in some situations, perplexing. Loan conditions and interest rates change from broker to broker. Title and closing charges, as well as origination fees, affect the final cost of the loan. Then there’s the actual service experience. How transparent is the broker? Do they keep all parties informed and offer progress updates on a regular basis? How quickly can they close the loan?
Non-QM loans are also based on scenarios. They are not a rote calculation of punching in numbers and determining whether or not the borrowers qualify. They are a novel non-static product. The approval procedure is more akin to traditional underwriting. This implies that the loans have a more personal touch and allow for greater flexibility with their clients.
Brokers who utilize Non-QM provide a service that their competitors may not offer. They become an expert and the to person for non-QM borrowers. Despite market fluctuations, the benefit is greater referrals and business development. Continue to raise your volume year after year, despite shifting interest rates, stricter agency requirements, and a weakening refinancing market.
In keeping with AHL Funding’s goal of educating our partners, we offer innovative non-QM lending alternatives to our brokers. AHL Funding also offers a non-QM support desk where underwriters can guide brokers through their borrower’s circumstances and assist them in structuring the loan before submitting it for approval.
These are just a handful of the resources AHL Funding offers to help our partners expand their market expertise and build their businesses. If you aren’t already a partner with us, now is a terrific opportunity to become one. We can assist you in achieving your objectives and obtaining the finest financing for your consumers.
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