Sprout Mortgage stages comeback in the correspondent lending space with 4 loan programs
After suspending financing on non-QM in April, Sprout Mortgage has announced that it is resuming the operations of its correspondent lending.
Amid the coronavirus pandemic, many mortgage companies that focused on lending to non-qualified borrowers put their lending operations on hold. But as stay-at-home orders start to relax in some states, non-QM lenders like Sprout Mortgage are slowly coming back to the market.
"We're excited to once again offer a complete array of non-QM home finance solutions to our correspondent clients," Sprout Mortgage President Michael Strauss said. "While our loan programs have been re-engineered for today's markets, our commitment to make non-QM mortgages easy and convenient for our clients remains a top priority for Sprout."
Sprout's correspondent channel will initially feature four loan programs, including:
- J10 – Select Jumbo Full Doc – For income documented with pay stubs and tax returns, up to $4 million, maximum 85% LTV
- A10 – Select Bank Statement or 1099 - For self-employed borrowers, up to $4 million, maximum 85% LTV
- A11 – Select Asset Optimizer – For high net-worth borrowers, up to $4 million, maximum 80% LTV
- I10 – Inve$tor Debt Service Coverage – For 1-4 unit investment properties, up to $2.5 million, maximum 70% LTV
The lender also recently made a few enhancements to its four non-QM programs, such as reducing rates across its entire program offering, as well as increasing maximum loan amounts at lower loan-to-value levels on the Select program series.
"Our Select and Inve$tor programs, a team of experienced account executives, and Sprout's powerful, easy-to-use technology all combine to let our clients deliver the right mortgage to each of their borrowers," said Shea Pallante, chief production officer of Sprout Mortgage.