MReport July 2022

TheMReport — News and strategies for the evolving mortgage marketplace.

Issue link:

Contents of this Issue


Page 8 of 67

M R EP O RT | 7 MTECH Brokers as a One- Stop Shop for Builders NEW HOMEPOINT OFFERING BOLSTERS BROKER-BUILDER PARTNERSHIPS H omepoint has launched Homepoint New Build, a new program that enables approved Homepoint Mortgage Broker Partners to win builder business and gener- ate bulk origination opportuni- ties by offering business purpose construction financing for residential home builders. The program is now available through a partnership with Level Capital LLC, a national private portfolio lender that has paired its Wall Street institutional relation- ships with its builder DNA to pro- vide the resources builders need in today's competitive industry. Homepoint New Build is designed to help Mortgage Brokers function as a one-stop shop for builders through streamlined mobile tech- nology and flexibility, without the red tape generally associated with banks and credit unions, or the costs associated with hard-money lenders. "Mortgage Brokers are often at a disadvantage when it comes to construction financing be- cause builders tend to use their existing lender partnerships to close deals. We're changing that," said Phil Shoemaker, President of Originations at Homepoint. "We're positioning brokers to be the go-to resource for builders of any size, whether they're provid- ing financing for five loans or 500 loans. With new construction expected to be a sizable percent- age of home purchase activity for the foreseeable future, Homepoint New Build helps brokers cater to a whole new customer base which will be an integral part of growing their businesses." To be competitive with private lenders, banks, and credit unions, Homepoint New Build enables brokers to help builders close new construction loans for single-fam- ily residences, multifamily homes, condos, and townhomes within 15 days. Loan amounts can be as much as $4 million per unit or $25 million per project. Through Homepoint New Build, brokers can get financing pre-approved in as few as 48 hours and provide term sheets within 24 hours. "There is tremendous op- portunity for mortgage brokers to expand their market share through new construction, and we're very excited to partner with Homepoint to bridge the gap be- tween brokers and builders," said Brady Yeager, President of Level Capital. "We strongly believe that brokers can provide builders with a more efficient experience than they've grown accustomed to over the years, and Homepoint's strategic, relationship-oriented approach to lending makes them the ideal partner to set brokers up for success." Homepoint New Build is currently available in 10 states: Arizona, California, Colorado, Florida, Idaho, Montana, Oregon, Texas, Utah, and Washington. Three additional states—Nevada, New Mexico, and North Carolina—are coming soon. Expanding Credit Access to Underserved Markets MBA AND NFHA PARTNER ON NEW ONLINE TOOLKIT T he Mortgage Bankers Association (MBA) and National Fair Housing Al- liance (NFHA) have announced they have joined forces on a new online toolkit for mortgage lenders interested in developing Special Purpose Credit Programs (SPCPs). SPCPs permit lenders to offer mortgage credit to economi- cally and socially disadvantaged borrowers and are an important tool for ensuring financial insti- tutions can meet the needs of their consumers. "MBA is committed to bringing the mortgage industry together to develop effective policy and resources to help to close the racial homeown- ership gap. We have been at the forefront of encouraging regulators, the GSEs, lenders, and other industry stakeholders to enable the creation of SPCPs to increase mortgage credit avail- ability to underserved communi- ties," MBA President and CEO Bob Broeksmit, CMB said. "The online toolkit is designed to provide useful guidance and data analysis for mortgage lenders that are interested in using SPCPs to serve economically disadvantaged communities as well as minority borrowers, most of whom lack generational wealth to fund a down payment." The online toolkit, which was developed with technical assis- tance from the Homeownership Council of America (HCA) and input from the Urban Institute, provides background informa- tion, best practices and guidance, industry examples, data, and other useful links to aid mort- gage lenders in their work in developing SPCPs. "NFHA has championed Special Purpose Credit Programs as an excellent tool for expand- ing credit access for underserved

Articles in this issue

Archives of this issue

view archives of TheMReport - MReport July 2022