NexBank, Dallas, is starting a correspondent lending program aimed at community banks and mortgage brokers. The company already has a wholesale channel (started in 2008) and last year entered the warehouse lending business.
The correspondent channel, said Jed Meaux, vice president in charge of the mortgage division, "offers mortgage brokers the opportunity to serve as mortgage bankers to their customers. And small community banks can provide mortgage solutions to their banking customers but leave the backroom work of underwriting to us."
With the changes in the regulatory and product underwriting landscape, the bank is seeing an opportunity to help mortgage brokers make the conversion to mortgage banker. Plus, other correspondent lenders have either exited the market or are placing great constraints on mortgage originators.
A representative of NexBank added "The correspondent program was started to enhance our overall wholesale and warehouse platforms, whereby we can now provide comprehensive mortgage services to our mortgage industry clients; giving them the opportunity to continue as a broker, or based on their net worth or business model, make the move to a banker through our correspondent programs."
NexBank said the program will be focused mostly on serving originators in Northern Texas, but it is considering other markets in the region. It will be purchasing agency and government (including USDA) loans, as well as nonconforming loans.
