Expanded-Credit Mortgages Are Getting Bigger — Good News for CA Investors

A wave of billion-dollar expanded-credit mortgage-backed securities is hitting the market, signaling growing lender appetite for non-traditional borrowers — great news for California investors and self-employed buyers.

If you've ever been told you don't fit the conventional mortgage mold — maybe you're self-employed, an investor with multiple properties, or you have a non-traditional income structure — the mortgage market is sending you a very encouraging signal right now.

In just a matter of weeks, three separate expanded-credit mortgage-backed securities, each exceeding $1 billion in size, have come to market. That's a big deal. Deals in this space typically range from $250 million to $900 million, so surpassing the billion-dollar mark three times in quick succession shows that investor demand for these loan types is strong and growing.

Expanded-credit mortgages are designed for borrowers who have solid finances but don't qualify under strict conventional guidelines — think bank statement loans, investor cash flow loans (DSCR), and jumbo non-QM products. These are extremely popular in California, where high property values and diverse income types are the norm.

When Wall Street is hungry for these securities, lenders have more capital to fund these loans — and that typically means better availability and more competitive pricing for borrowers like you.

Whether you're purchasing a rental property, refinancing a mixed-use building, or buying a primary home as a self-employed professional, now is a great time to explore your non-QM options.

Reach out to our team today to find out which expanded-credit loan program fits your situation.