Why Brokers Should Consider Non-QM Loans

The past several years have been very tumultuous for the housing industry and the economy as a whole, so it makes sense that more borrowers are struggling to meet the basic eligibility requirements necessary to obtain a standard home loan. The good news is that there are alternatives, like non-QM home loans, that can help fill the gap and ensure borrower’s needs are met.

In fact, many industry experts expect the non-QM home loan market to continue to expand and grow throughout the year. Now, experts say, is the perfect time to get involved with non-QM if you’re a broker.

The number one reason to get involved with the non-QM sector is because the economy’s turbulence is going to continue as the year progresses. Volatility is to be expected, but borrowers will still need a secure lender even in times of uncertainty. When inflation, interest rates, and the overall cost of getting a home loan rises, more borrowers look to alternatives. That said, more borrowers are likely to look towards non-QM lenders as a solution to their borrowing problems.

Another reason to consider getting involved with non-QM is because volume is not decreasing in this sector of the market. Unlike all other areas of home buying and lending, volume is actually increasing when it comes to the amount of non-QM loans being taken out. According to Acra, one well known non-QM lender, they’ve increased in volume every year since 2020. Year over year, the company reports growth of 20-25%.

Yet another reason to consider non-QM lending is because more industry players are making this offering. Back in 2020, only about one in four companies considered non-QM loans, but now that figure has evened out to about a 50-50 split.

Finally, the housing market is strong despite its volatility in recent years. Non-QM provides a good investment opportunity for anyone interested in getting started with investing in a home without being tied up with a traditional loan.

Are You Ready to Benefit from the Non-QM Market?

Are you interested in investing in a home, but you’re struggling to meet standard borrowing requirements? If so, then it’s important to consider your options. Non-QM home lenders can provide you with the funding you need without asking you to meet tough qualifications.

Here at Non-QM Home Loans, we can work with you even if you have less-than-ideal credit, a high debt-to-income ratio, you’re a foreign national, you’re self-employed, or you have another non-traditional financial situation going on. We won’t ask you for an unreasonable amount of proof that you can meet your payments. Instead, we’ll analyze the property in question, consider your ability to pay based on the information you provide to us, and create a personalized loan offering based on your details.

Are you interested in learning more about the loan products we offer? Do you want to see if you’d be a good candidate for one of our loans? Check out our options here to learn more about what we can do for you.