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RPM MORTGAGE STRIKES A “JUMBO” DEAL
RPM is pleased to announce that it has entered into an agreement with a major Wall Street firm that will allow RPM to offer Jumbo loans up to $2 million. With this new product available to its clients, RPM anticipates originations over $1 billion within the first six months of this year.
Rob Hirt, CEO of RPM, is ecstatic about the new Jumbo loan capabilities which he feels will be a real “game changer” for the company.
“After an almost three year hiatus, it looks like Jumbo liquidity is making a comeback!” said Hirt. “This is excellent news for borrowers who need loans above $729,000 which is the maximum loan offered by Fannie Mae, Freddie Mac and FHA."
The program will allow RPM to lend a 30 year mortgage up to $2 million on a home with the buyer making a 30 percent down payment, and up to $1 million with a 20 percent down payment.
Pricing for this program easily competes with the banks who are “too big to fail” and have made it so difficult for borrowers to obtain loans. Moreover, RPM has the ability to internally underwrite these loans and can use RPM Appraisal Services’ local appraisers to value the property versus the national appraisal companies sending in an appraiser from out of the area.
Hirt sees a lot of potential with this new product and believes that it will allow RPM to tap into untouched markets and really capitalize on Jumbo loans, which is a huge advantage the company now has over competitors.
“Believe it or not, interest rates are still at 40 year lows,” said Hirt. “Part of the problem now is that anyone that had a conforming loan has most likely refinanced. But the Jumbo market has been dead in the water! But not for long!”
RPM is in the midst of building partnerships with other large Wall Street firms that will hopefully be able to deliver more Jumbo products to RPM. With these products now available, RPM has a bright future for purchase money originations.
RPM Mortgage, Inc. is based in Walnut Creek and is a private family-owned mortgage bank and broker whose roots in the Bay Area stem back to 1986. RPM has 42 branches in California, Nevada, Texas, Idaho, Colorado and Connecticut and over 700 loan agents and employees. RPM’s loan agents are specially trained to offer FHA, VA and CalSTRS loan programs to their customers. They work with borrowers, realtors, CPA’s, financial planners, attorneys and financial consultants to provide home buyers with the best financial solutions in the market today.
