Home News UWM enters the HELOC space

UWM enters the HELOC space

by admin
0 comment

top wholesaler United Wholesale Mortgage (UWM) is the latest originator to join the revived Home Equity Line of Credit (HELOC). market.

With home prices rising rapidly, the Pontiac, Michigan-based lender is offering stand-alone and piggyback options as homeowners can use equity in their homes to pay off their debts, expenses, or investments. has started to provide

UWM’s product, which was announced Wednesday, is available for primary and second mortgages with loans up to $350,000, according to the company’s website. Not applicable in Texas.

According to UWM, standalone HELOCs are an alternative when “current mortgage interest rates are so low that cash-out refinancing just doesn’t make sense,” the company said in a news release.

Piggyback HELOCs, on the other hand, which offer an additional loan made on the property alongside the first mortgage, are ideal for borrowers with less available down payment. According to the company, “This is a great option for those who want to split their first and second mortgage in order to avoid mortgage insurance or keep the first mortgage on a matching loan.”

UWM has been aggressive in launching new products and lowering prices amid rising mortgage interest rates and shrinking loan amounts.

The lender also announced that it has increased the VA jumbo loan limit from $2 million to $4 million.launched last week Temporary rate buydownby using the seller’s concession as part of the payment, the borrower can receive a lower mortgage interest rate at the beginning of the loan term.

Products Complement Wholesaler’s “Game On” Initiative, a discount pricing strategy hatched to increase market share with buyers. In response to the, home pointis the nation’s third largest wholesaler and has launched a new program. cut interest rates by 75 basis points For low income borrowers.

However, in the HELOC arena, UWM follows its rivals’ announcements. rocket mortgage, Guaranteed rate, loan depot When New Residential Investment Corporation (Recently rebranded rhythm capital) are planning or implementing a HELOC loan product.

Black Knight recently reported that tappable home wealth reached $11.5 trillion nationwide in the second quarter. That number is about $500 billion higher than the first quarter and $2.3 trillion higher year-over-year.

You may also like