First Guaranty Mortgage Corp. (“FGMC”), McLean, Virginia, is introducing its Correspondent’s Edge product line for correspondent lenders. The niche-focused product line will include manufactured housing loans and rehabilitation loans such as the 203k or Fannie Mae HomePath loan. FGMC is a national, full-service mortgage lending firm offering retail and wholesale mortgage solutions to clients of varying income and credit types.
FGMC Senior Vice President Andrew Peters believes that the Correspondent’s Edge program will allow correspondent lenders greater latitude in what they can offer to customers, and expand their reach as well.
“Many of the correspondents we speak with have found themselves limited to fairly vanilla loans, limiting them to a fairly narrow range of potential borrowers,” he said. “Correspondent’s Edge should provide them with additional tools and offerings, and widen the market for many of the newer correspondents making the transition from third party originator to correspondent lender.”
FGMC is also responsible for the “Rebuild the Dream” initiative, which aims to provide incentive to homebuyers and Realtors alike to use rehabilitation loans to increase the value and appeal of REO properties which would often otherwise be marketed in a state of disrepair.
“We believe that there is a need and a demand for non-traditional loans such as the 203k,” said Peters. “Many have backed away from non-traditional lending recently, but with cautious underwriting and an attention to detail, there is no reason to shun these products, which can also play a strong role in accelerating REO re-sales and even neighborhood stabilization.”
You can get more information on this from Peters via e-mail.