Program gives borrowers an "affordable alternative" to access their home's equity
First Guaranty Mortgage Corporation (FGMC), one of the big players in the non-QM space, has deployed a new loan program “designed to increase opportunities for homeowners who would like to access the equity in their homes.”
FGMC’s Stand-Alone Second Lien program is the latest addition to its flagship non-QM product suite, Maverick Solutions. Paul Jones, senior vice president of non-QM development and production at FGMC, said the new offering “gives individuals an affordable alternative to tap into their home’s equity. As the market fluctuates, borrowers can gain peace of mind with a fixed rate throughout the loan term.”
The Second Lien program, also called Explorer Equity by the company, offers borrowers flexible guidelines and expanded credit parameters, including:
- minimum credit score of 680,
- up to 100% combined Loan-To-Value (LTV),
- allowance of owner-occupied or second homes,
- and the ability to qualify despite past bankruptcies.
According to FGMC, this program increases loan accessibility for borrowers who may not otherwise qualify. The lender plans to expand Explorer Equity, which is currently limited to a stand-alone offering, to offer a “piggy-back option” soon.
“Like all Maverick Solutions products, FGMC’s Explorer Equity program is designed to meet the unique needs of today’s borrowers,” said Jones. “The needs of borrowers today can change quickly as the market fluctuates, and we must be nimble and ready to adapt with it.”