The creation of the qualified-mortgage patch was “unfair” but necessary to prop up originations, according to former CFPB officials who were involved in crafting the temporary rule.
DoubleLine Capital has picked up a minority stake in OptionWide Financial, while MFA Financial has put its might behind five non-qualified-mortgage lenders.
The future looks particularly bright these days for non-qualified-mortgage shops looking to sell or go public. One lender that can take down the for-sale sign is Citadel Servicing Corp.
Loan applications took a dive last week but for the most part lenders remain optimistic about the months ahead. Meanwhile, a fintech lender plans to buy a bank, an industry first.
The recent IPO of nonprime lender Velocity Financial should pave the way for other like-minded deals. Right? But not so fast. The stock market can be an unforgiving place.
Conventional nonbank lender/servicers have been closed out of the IPO market for several years now. But if you fall into the nonprime category, it’s a different picture. Velocity is about to test the stock market waters.