"We expect the program to be an incredibly popular option for well-informed borrowers, and in turn, a significant boom for mortgage originators," said United Wholesale Mortgage CEO Mat Ishbia. "The purpose of the program is not to enable a consumer to afford a larger house; it's for savvy borrowers who can regularly afford a house on a 30-year fixed mortgage, but choose the interest-only option to save additional discretionary income."
In addition to a required 20 percent down payment on the cost of a loan, UWM will only accept borrowers with minimum FICO scores of 720 and a 42 debt-to-income ratio to participate in the interest-only program. Borrowers will be required to begin paying down the principal of the loan after 10 years.
UWM is making interest-only financing more mainstream by broadening its reach to mortgage brokers, correspondents, small banks and local credit unions throughout the country. Large banking institutions have widely offered this option, but mostly restricted its availability to jumbo borrowers.
By making the interest-only financing option available to qualified borrowers through mortgage brokers, UWM continues to elevate the value that brokers provide in the mortgage industry and raise awareness of their benefit to borrowers. Further, the availability of alternative financing through the wholesale channel strengthens the ability of brokers to help a broad range of qualified borrowers achieve their dreams of home ownership.
About United Wholesale Mortgage:
Headquartered in Troy, Michigan, United Wholesale Mortgage (UWM) underwrites and provides closing documentation for residential mortgage loans originated by mortgage brokers, small banks, local credit unions and correspondents. UWM provides unparalleled service with its deep understanding of the mortgage process using its talented team of account executives, underwriters, closers and funders, who have years of experience with intricate knowledge in wholesale. UWM's positive teamwork and dedication to exceptional client service has resulted in continued success and growth that has spawned expansion.
For more information, visit http://www.uwm.com/ or call 800-981-8898.
MEDIA CONTACT:
Joe Bowerbank
Profundity Communications, Inc.
949-378-9685
jbowerbank@profunditymarketing.com
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NEWS SOURCE United Wholesale Mortgage :: This press release was issued on behalf of the news source (who is solely responsible for its accuracy) by and Copr. © 2015 Send2Press® Newswire, a service of Neotrope®.