First California Mortgage Co. (First Cal) confirms that it has been chosen as the pilot lender for the recently announced warehouse initiative between Fannie Mae and Guggenheim Partners' mortgage warehouse operations company, NattyMac.
Fannie Mae pledged its support as part of its recently announced warehouse lending pilot to provide $1 billion in liquidity to nonbank lenders, and First Cal has secured $50 million in new warehouse funding through this program. The added credit capacity will enable First Cal to fund an additional 5,000 home loans this year and more than triple its 2009 production.
"We are pleased and grateful for the leadership of Fannie Mae in helping us structure this credit facility, and to Natty Mac for its strong support," says Christopher K. Hart, president of First Cal. "This is a milestone event because it addresses an obstacle that has hampered our quest to expand the availability of home loans for purchase and refinance directly and through our network of lending partners."
The expanded credit facilities allow First Cal to increase the production of residential home loans through its selected wholesale broker network, its own retail lending operation and through DealPoint, its community bank program.
According to First Cal's chief financial officer, Ralph F. Hints, there are ongoing efforts to secure additional lines of credit to support other non-agency lending programs, such as Federal Housing Administration and Veterans Affairs loans, which First Cal is approved to underwrite and fund.
"It is gratifying to see opportunities like this come to First Cal," says Hints. "We're acknowledged as a quality organization and a top-tier lender and well-suited for Fannie Mae's goal of enabling homeownership through responsible lending practices."
SOURCE: First Cal Mortgage Co.