Subprime lender Delta Financial Corp. has increased its warehouse funding capacity by nearly 30% and anticipates production next year will continue to increase from its record level this year.
The Woodbury, N.Y.-based company announced Tuesday it had increased its warehouse financing capacity by $200 million -- bringing to $900 million its total funding capacity. Delta, which reports having securitized $11 billion in mortgage loans since 1991, said the lines are provided through three separate financing providers.
"We remain comfortable with our previously stated guidance of more than $2.5 billion in loan originations, which would be our highest full-year loan production to date and represent an increase of approximately 47 percent over our full year 2003 originations," said Delta CEO Hugh Miller in the announcement. "Securing this additional funding will help support our continued goal of growing our loan originations as we move forward into 2005."
The company says it originates nonconforming mortgages in 26 states through 1,700 mortgage brokers and its own retail offices.