Weekly Real Estate News
Summary
June Point Lending expanded its wholesale DSCR mortgage program into California, bringing its investor-focused non-QM product to 19 states.
Wholesale non-QM lender June Point Lending has expanded its debt-service-coverage-ratio mortgage program to California, bringing its DSCR offering to 19 states and adding one of the country’s largest mortgage markets to its footprint.
The company announced the expansion Tuesday. June Point says brokers can upload a Uniform Residential Loan Application and receive initial eligibility results within minutes, with key requirements identified early in the process.
DSCR loans are generally underwritten around the cash flow of an investment property rather than relying primarily on the borrower’s personal income, making the product particularly relevant to real estate investors and some self-employed borrowers.
“DSCR and non-QM loans exist for exactly those borrowers, but some brokers have written non-QM off as too complicated to offer,” CEO Viral Shah said in the announcement. He described California as an important market for the lender because of demand for DSCR financing.
A technology-focused wholesale entrant
Shah and William DeVar co-founded June Point after working at Better.com during its earlier growth period. DeVar later served as chief product officer at consumer lender Koalafi. June Point is backed by Deciens Capital and says it moved from initial funding to becoming a live lender in roughly eight months.
The company positions its technology as a way to reduce manual work in non-QM underwriting while retaining access to account executives and underwriters. Its current DSCR footprint includes Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Maine, Massachusetts, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, South Carolina, Texas, Washington and Wisconsin.
The California launch adds another competitor to a non-QM market that has attracted lenders seeking volume outside agency-qualified mortgages as conventional purchase and refinance demand remains constrained by high rates.
