Citadel slashes rates across the board

by Ryan Smith28 May 2019

Business continues to boom for Citadel Servicing Corp. (CSC) as the non-QM space grows. As a result, the company has just lowered its rates.

“We just dropped rates a quarter-point across the board on our Maggi and Non-Prime products,” said Will Fisher, senior vice president and national sales and marketing director for CSC.  “We were already the market leader on rates; now we have dropped another quarter-point.”

Fisher said CSC was able to drop its rates because it has built a smooth, well-oiled system for efficiently processing non-QM loans in a timely fashion.

“We have found so many efficiencies in our internal process and our sales process,” he said. “This is not just about product; this is about structuring; this is about upfront review of the loan. We have reduced potential up-front issues on our submissions to such a degree that suspenses, denials, or heavily conditioned loans are at an all-time low. Because of this, we are able to drop rates.

“It also helps that we have the easiest-to-understand guidelines of any non-prime company out there,” he said. “On top of that, our underwriters are the most seasoned, with over seven years of experience funding more than 11,000 units. From what I have seen, we are the most seasoned of any non-prime/non-QM lender in the country.”

Fisher said that CSC’s efficient processes also allow the company to keep up with ever-growing volume.

“We are already over 50% growth in loan volume year-over-year in the month of April, and we are looking for those numbers to continue to grow,” he said. “We are already seeing a major uptick in submissions. There may be one other company out there doing numbers similar to us; however, they have over 600 employees – and we are doing it with under 250.”

The latest rate reduction, Fisher said, is in keeping with the company’s over-arching philosophy of service.

“We are still turning an amazing profit, and we are dialed in,” he said. “Our CEO made a commitment to all of our staff and all of our customers – and that commitment was everyday low rates and better service. We’re just trying to live up to that.”