Just sharing as I saw a couple posts in regards to "who's still lending?"
For context, last week LendingHome tacked on a 4,000 service fee (which on a 100k loan is an additional 4 points on top of the 1-2 points you'd pay), an additional 1.5% on top of the rate you were paying, maxed rehabs at 70k, and cut loan sizes.
Today they knocked the 4,000 service fee down to 1k. So back to business, but with an additional 500k fee (it's usually 499 fee compared to the new 999), minimum rehab amounts, and rates bumped up 1.5%.
I have no affiliation, just throwing it out there for those looking to find a HML.
Here’s the short version of their email:
- -We are open for business and are on track to fund over 500 loans in March. We continue to fund 20-30 new loans per business day.
- -The same great service is here for you. Our teams remain fully staffed.
- -We’ve heard you loud and clear on pricing feedback. After reassessing the capital markets outlook, will be significantly reducing service fees. Read below for details
Our goal moving forward is to keep our pricing and qualification as stable as possible during these times of uncertainty. While many lenders have exited the market, we want to bring you certainty in your purchase decisions. Here’s the update:
- We are reducing service fees to $999/loan for our Pro customers effective April 1st.
- We will rebate any fees collected over the past week in excess of that amount back to you as a credit on your next loan.
You'll probably be deleted for advertising or something by a VA, but it's good to see that they're pulling back on the initial pause... they probably realize that paying 50 employees to answer the phone and tell people they aren't lending is not making them any money.
Hopefully soon some of them will get back to doing rental prop refi's (fingers crossed)
Good call @Kevin M Finley . I can't go back and update now, but yea should have left out the parts from their email.
Thanks @Tom Shallcross we also now have 18 month and 24 month options (no prepayment penalty) so if you need to put a renter in you can ride this crisis out. Anchor is also really good right now especially if you have extensive experience.
Tom. Would love to discuss.