Non-QM has been on the periphery of the volume that’s been coming in for quite some time, but because of where rates are sitting, it’s taking center stage. Kind moved quickly to provide the support where it’s needed, looking at non-QM products from other lenders and adapting it to align with the lender’s overall approach. To that end, “nothing went untouched — every piece of this product has been improved.” Aiming for easier to use, more streamlined, and overall stronger, “I think we delivered,” Fisher said.
The new offerings include a 12- and 24-month bank statement product that allows a Fixed Expense Ratio, P&L, a true P&L only, WVOE, 1099 product, and an asset utilization product that allows for an additional way to calculate that Kind believes will be more beneficial to the right borrowers in the right scenarios. The lender has also extended into DSCR up to 85 LTV and down to 620 FICOs but kept the best features including no prepayment penalty and low ratio. Some other lenders might shy away from that, Fisher noted, but Kind is able to offer it because of the great partners it works with in the secondary market.
Kind also now makes all lending decisions in-house, which Fisher pointed to as the biggest upgrade, and said these changes are all illustrative of Kind’s drive to come to the market with competitive products that respond to broker and borrower needs.
“We have the infrastructure to change the game for brokers around the country that primarily work in the A paper space,” Fisher said, noting technology is where Kind really separates itself from the rest of the pack. “If a broker hasn’t used us before and seen how seamless and curated the experience is, they’re going to be blown away.”
