As mortgage rates are at all-time lows, at least one lender is getting into the jumbo loans game by announcing their new jumbo and super jumbo loan programs.
According to MarketWatch, Bank of Internet announced that they have recruited a seasoned jumbo loan financing executive named Jerry Konzen who was previously with jumbo loan giant Thornburg Mortgage. Mr. Konzen is leading the jumbo loan program at B of I and when he was asked how B of I plans to compete in the jumbo loan market, he replied:
“We offer a concierge level of service to brokers, correspondents and their customers. We provide customers with highly customized portfolio financing solutions that exceed their expectations.”
The target market in California for the new jumbo loan and super jumbo loan programs are the affluent, educated and sophisticated borrower who knows how mortgage markets work and demands a high level of service.
There are flexible guidelines with this new jumbo loan program and since B of I is retaining these jumbo and super jumbo loans in their portfolio, they can allow more flexibility than if they packaged them up and sold them. For example, B of I will accept pledged assets, will vest in entities, and freedom to make common sense underwriting decisions.
With a return of at least one larger lender to the California jumbo loan market, it isn’t long before other lenders jump in and start offering jumbo loan financing — and it is a perfect time for consumers while rates are low.
