Program aims to make non-QM lending programs more transparent and standardized
MAXEX has added a new non-QM offering to its mortgage exchange platform.
The company described the new MAXEX Non-QM loan program as the “industry’s first multi-seller to multi-buyer flow liquidity program for alternative documentation loans.” The first flow loan program connects originators with multiple buyers of alternative documentation loans via the MAXEX exchange, using a single contract, a single set of guidelines, and a standard fulfillment process.
“The growing market for creditworthy borrowers with non-traditional income remains a steady trend amid the past two years of mortgage industry volatility,” MAXEX said in its press release. “As more business owners, gig workers, and other non-W2 wage earners continue to vie for homes in today’s high cost / low inventory housing market, lenders’ ability to evaluate and serve these borrowers is pivotal to the long-term success of both. However, the lack of standardization and transparency has long been a barrier to broad access to liquidity for this burgeoning segment.”
Additionally, originators on MAXEX’s exchange can access daily pricing from multiple buyers of fixed and adjustable-rate mortgage loans using bank statements, P&L statements, and 1099s to document income. The program is expected to be available to originators this summer.
Read next: Non-QM lending: Where should brokers focus their efforts?
“Borrowers with non-traditional, supplemental, or hybrid income are no longer the exception in the homeownership equation, making lending programs that accept alternative documentation a must-have for today’s mortgage lender,” said MAXEX chief revenue officer Brennan Walters. “As MAXEX continues to establish itself as the private market counterpart to the GSEs, our mission of creating standardization and efficiency naturally expands into lenders that serve these creditworthy non-QM borrowers.”
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