Broker First Funding

Basic information

QM program

• Conventional
• Home Ready
• Home Possible
• FHA
• FHA Streamline
• FHA DBA
• VA
• VA IRRRL
• VA High Balance

Loss payee

New Jersey, Georgia, and Florida Mortgagee Clause: FlexPoint Home Loans Inc. ISAOA/ATIMA 3100 Bristol Street, Suite 100 Costa Mesa, CA 92626 All Other States Mortgagee Clause: FlexPoint, Inc. ISAOA/ATIMA 3100 Bristol Street, Suite 100 Costa Mesa, CA 92626

CPL or subordinate clause

New Jersey, Georgia, and Florida Mortgagee Clause: FlexPoint Home Loans Inc. ISAOA/ATIMA 3100 Bristol Street, Suite 100 Costa Mesa, CA 92626 All Other States Mortgagee Clause: FlexPoint, Inc. ISAOA/ATIMA 3100 Bristol Street, Suite 100 Costa Mesa, CA 92626

Lock policies & fees

Lock policies

Lock extension

Wholesale Brokers may request a rate lock extension within 15 days before the lock expiration date. Rate Locks may only be extended for a maximum of 15 days from the original expiration date at a cost of 0.025% (2.5 basis points) per day and a maximum of forty-five (45) days total.

Relock

Any lock that has expired may be relocked. If a loan has expired for 30 days or greater, then it is considered a new lock and pricing will be based on the current market plus 0.25% (25 basis points). Loans that have expired for less than 30 days can be relocked for 15 or 30 days and are subject to worse-case pricing plus any previous extension fees plus 0.25% (25 basis points). Loans may be only relocked one time. If at the time of Relock the loan program has/is changed, the worse pricing between the existing price on the original loan program and the current price on the new loan program will apply. The price may not improve regardless of loan program change.

Lock & Shop

No

Lender's niche & overlays

Lender's niche

Allow lender credit to cover BPC for all programs except CALHFA.

We can do Cross Collateral DSCR

Competitors have a min tradeline requirement. Where we stand out…if borrower has 3 FICO scores, no min tradeline analysis required.

- We offer P&L up to 85% LTV (some are only at 80% - however, we do require 2 months bank statements to supporting the qualifying P&L income figure)

- We don’t have limit to how many financed properties the borrower(s) may own. (i.e. if our borrower owns 10+/20+ properties, we have no restriction. Not to get this mixed up with how many properties WE will lend on).

- (Bank statement) We don’t source/papertrail large deposits up to 100% of avg monthly sales

- If borrower owns multiple financed investment properties, most lenders require 2 months reserves for each of those properties. We only need reserves for subject property.

- Crypto currency – we allow as long as they can source & trace back into crypto account, and must be liquidated into standard checking/savings.

- DSCR = large deposits don’t need to be sourced/paper trailed - Allow vesting in LLC (some competitors don’t allow at all) - Allow exceptions on rural properties or high acreage

- Gift funds allowed to meet reserve requirement (on primary res) - Pricing is based on primary earner FICO score (some competitors will only use lower FICO between all borrs)

- Exceptions for higher/lower loan amounts outside of matrix.

- Expanded list of allowable non-permanent resident alien categories (and work visas)

- Make-sense approach for ITIN borrowers – redacted information, “borrowed” SS#.

- DSCR vesting in LLC. Competitors require 100% of owners/members on the loan, we only require 50%.

- Housing history exceptions: Most require 12 months cancelled checks, in certain instances, we will grant exception for just the VOR/VOM w/o cancelled checks.

 - Mtg lates: Allow multiple 30-day lates (aka 0x60x12), and allow up to 1x60x12 on purchases (see matrix).

- If doing investment property (alt doc = bank statement/P&L), we can treat the same way as DSCR, meaning brokers don’t need to be licensed in those exemption states. Most competitors don’t allow this, and only allow this on DSCR.

Lender's overlays

Maryland is only for our Non QM ( purchase primary / second home / investment ).

MA is only for business purpose loans. 

FHA-Matrix-Overlay_010125.pdf

Freddie-Mac-Matrix-Overlay_010125.pdf

VA-Matrix-Overlay_010125.pdf

Lender turn time

Initial underwrite (days)

2

CTC conditions review (days)

2

Initial CD (days)

1

Reviews