A Texas wholesale lender is digging into its own coffers to fund nonconforming mortgages — including loans for less than the conforming limit.
Among mortgage bankers to recently launch nonconforming programs are Fairway Independent Mortgage Corp., New Penn Financial LLC and TMS Funding.
The firms are looking to take advantage of the upcoming expiration of temporarily higher loan limits for conforming and government mortgages.
But NexBank SSB sees an opportunity in offering its portfolio jumbo program to borrowers with conforming loan sizes.
The Dallas-based company announced Wednesday the launch of its Mortgage Connect Program. The new offering is a suite of traditional, non-conforming mortgage products with loan amounts ranging from $250,000 to more than $2 million.
“The Mortgage Connect program features common-sense underwriting and is funded directly from NexBank’s balance sheet,” today’s statement said.
The program was designed to meet the needs of mortgage brokers, Jed Meaux, vice president and head of NexBank’s mortgage division, said in the statement. The company hopes to address strong demand for traditional, non-conforming products that offer common-sense underwriting and fast turnaround.
NexBank first unveiled its jumbo wholesale offerings in 2007. In August 2010, the lender launched a new warehouse lending division, while a correspondent division was opened this past May.
The launch of the new product follows the lender’s success with its jumbo lending program where the minimum loan amount is $417,000.
“As the Texas housing market continues to weather volatile economic times, we want NexBank to be a key resource for mortgage brokers looking for common-sense solutions at competitive rates,” Meaux said.
