Updated: Jun 21
It's nearing the end of 2021 and we are in a time of an ever changing marketplace from the coronavirus pandemic to dramatic real estate appreciation. Mortgage companies are going public with highest recorded originations, but who's really focused on all lending solutions?
Well there are Non-QM Mortgage Lenders such as GreenBox Loans and Angel Oak Home Loans who also has a wholesale division that goes under Angel Oak Mortgage Solutions who are specializing in non-conventional mortgage originations. A mortgage origination is when you write a new loan.
Well, how about helping folks restructure their current home loans? Ocean Park Financial is making headway with tackling mortgage loan debt restructuring and helping homeowners advocate for better terms without necessarily having to refinance. Ocean Park Financial in Beverly Hills California has a wide ecosystem of vendors and preferred lenders to help their client base with a full financial circle of products and services to better their scenarios. They have lenders and investors they work with who specialize in low credit score home loan financing to A-paper Tier 1 great credit competitive refinance quotes.
NEWLY ROLLED OUT RESIDENTIAL MORTGAGE PROGRAMS
Some new programs out such as the NEW RefiNow mortgage program newly released is a great way to better your financial situation by helping reduce your mortgage payments which in turn decreases your monthly expenses. This program loosens up underwriting standards of income to qualify to redo your mortgage.
The NEW RefiPossble initiates the same goal as the RefiNow program with benefits such as if an appraisal is required to verify the value of your property, you can now receive a $500 credit towards that appraisal cost. In addition, there are now fewer documents and information needed to close your loan.
Even with harder to prove income, lenders have rolled out new stated income loan programs where all you need to do is state your income and there are even new loan programs where they require no income verification! For Residential or Commercial lending, out of the box mortgage solutions are tangible, where you can get financing completed when before you weren’t able to.
NEWLY ROLLED OUT COMMERCIAL LENDING PROGRAMS
In commercial lending, it’s typical you have to have at least 30% down to purchase a property, now you may be able to obtain financing with as low as 10% down. There are DSCR (Debt Service Coverage Ratio) programs available where your personal income isn’t the determining factor for loan approval. Well did you know you can apply for a SBA loan to obtain capital to finance real estate you may own?
What is a SBA loan? SBA is the Small Business Administration, and they offer SBA 7(a) which is one of various commercial loans that are government insured and backed that provide small, U.S based businesses with funding. Businesses can use these for real estate, working capital or equipment purchase or financing. Now the SBA doesn’t lend money directly to business, instead a bank or financial institutions process the loan and the SBA insures and guarantees a certain amount of it.
Many insurance solution providers are emerging in the marketplace such as lemonade and insurify. These companies seem like they are technology driven, with the goal of getting you quick and hassle free quotes. Many homeowners can benefit from redoing their insurance to obtain better or lower premiums simply by shopping for a new provider to replace their old policies. In fact if you're redoing your mortgage you really want to consider redoing your insurance as part of getting your mortgage redone.
LOAN MODIFICATION AND LOAN RESTRUCTURING PROGRAMS
These programs were popularized in the 2008/2009 mortgage meltdown, with the government stepping in and making the Making Homes Affordable Program which expired in late 2016. Since then until now, many mortgage servicers offer the FLEX Modification and STREAMLINED Modification options. Getting your loan modified or restructured really depends on who owns or guarantees your mortgage (the investor of the note). Many Third Party companies offer to help you with a loan modification, but scams are rampant. Joseph Collins of Ocean Park Financial says never pay a retainer or upfront fee to a company or individual. The third party helping should only bill you their fee if they get you an offer from your mortgage company that you accept.
MORTGAGE LOAN FORBEARANCE
According to Saman Khanian of Equitable Lending in Los Angeles California, if you’re in a forbearance or coming out of one, it is possible to refi. Some lenders require you to come out of forbearance and make 3 new payments on time, while some require you to make 12 new payments while some lenders allow you to refinance while you are actively in forbearance.