Arc Home returns to the market outside QM
“When we assess an independent borrower, for example, some may not have been affected, some may prosper and others may have reserves and a strong business, but due to factors beyond their control, they had to make a break, ”said Fisherman. “This does not mean that they are going to close or that they are in great financial difficulty, it just means that a logical and pragmatic approach must be used to assess their income, which includes a plan to return to the pre-COVID period. income levels.
Fisher added that underwriters intend to be thorough and detailed when reviewing bank statements, and additional information like a business narrative will be needed to ensure the business is on track and well funded to continue. This will offer withdrawal and purchase loans of up to $ 3 million.
Additionally, Arc Home is bringing back some of their most innovative proprietary programs that were once available before the pandemic. While some competitor’s products are just a shell of what they were before the COVID-19 pandemic, Fisher says Arc Homes has done its best to stay as close to its product offerings as possible. ‘origin.
One such offer is their asset utilization program, in which borrowers use seasoned assets to prove their repayment capacity. The other very popular offering is the Debt Service Coverage Ratio (DSCR) product for investment properties, which offers up to $ 2.5 million up to LTV 75.
Fisher says the Arc Home team have been strategic with their timing when it comes to bringing back their non-QM offerings, and they plan to move forward in a thoughtful manner.