Increase Mortgage Lending with a New Line of Credit
Many mortgage companies are operating at full capacity - they cannot service all the home loans and refinances customers are requesting. Obtaining increased lending capacity through a new warehouse line is vital to their business. Whether you are an established firm simply looking to service more volume, or a smaller firm looking to grow, Warehouse Line of Credit.com is here to help you.
Smaller lending institutions and mortgage brokers usually do not have access to large capital to fund mortgages themselves. For many years, smaller companies had difficulty establishing large lines of credit in order to fund mortgages themselves. As a result, they had to depend on secondary investors to fund the loans at closing. Banks would find a borrower and offer the property and borrower’s credit to a funding institution. However, in doing so, they would have to abide by the funding institutions underwriting guidelines.
Warehouse lending and lines of credit offer a way for mortgage brokers to gain access to funds and transition into mortgage banking. When a smaller bank negotiates and approves a borrower for a mortgage loan, the bank then applies for a line of credit through a warehouse lending institution with the real property as collateral. The line of credit is used to fund the residential loan, and the warehouse lender has a security interest in the property until the mortgage can be sold to another investor.
Contact Warehouse Line of Credit.com
Call us today or fill out our short form to obtain a new warehouse line for your mortgage company, and start doing more volume for your business. We are specialists in connecting small and medium sized lenders with warehouse lines that fit their specific needs. We look forward to working with you!
