Fresh from raising $115 million in capital through a private sale of its common stock, Indianapolis-based Stonegate Mortgage Corp. is now offering non-agency ‘jumbo’ home loans through its network of retail offices, as well as through its more than 700 approved third-party originators.
The 15- and 30-year fixed rate residential loans, which run from $417,001 up to $2 million, will enable customers to purchase or refinance single-family and two-unit owner-occupied properties, one unit second homes, planned unit developments and rural properties of 10 acres or less.
In a release, Eric Scholtz, executive vice president of structured finance for Stonegate, said it is ‘clear there is growing demand for jumbo fixed-rate loans’ and added that Stonegate is looking to capitalize on the demand by providing ‘the right kind of housing finance products.’
‘Our experience has been that traditional banks are more focused on their ARM offerings since they are a better fit with their balance sheets from an asset and liability standpoint,’ Scholtz said. ‘We are hearing from borrowers that they want fixed-rate alternatives to lock-in the historically low mortgage rates. As we focus on this market, we see a broader opportunity to help rebuild a high-quality, non-agency market, which will continue to grow as the GSE's footprint shrinks."
Stonegate says it plans to grow its originations and servicing portfolio by expanding to all 48 contiguous states by the end of the year.