First Guaranty Mortgage Corp. has begun rolling out 203k home rehabilitation loans to National Association of Real Estate Brokers working with clients in urban communities that have been impacted by the ongoing mortgage crisis.
Participants of the Homeowner’s Assurance Program will collaborate to acquire, manage, market and dispose nonperforming loans and REO properties primarily in 25 urban metropolitan statistical areas across the country. HAP will provide asset oversight and governance as well as political and social capital management.
The McLean, Va.-based mortgage lender will offer “common sense” underwriting support to NAREB members to address the housing crisis in these communities, spearheaded by FHA mortgage loans including the 203k. FGMC was selected to participate in the HAP because of its experience in the renovation lending field.
“The 203k loan is an excellent product for homebuyers seeking to turn a distressed asset into the American dream,” said James Cromartie, associate vice president of national business development at First Guaranty Mortgage Corp. “We also use quite a bit of manual underwriting, as we believe there is an incredibly underserved class of consumers who are, in reality, excellent prospects, even though they might not qualify under some desktop underwriting models.”
