Technology-focused mortgage lender loanDepot has created another joint venture with a homebuilder, this time with AV Homes.
AV Homes' primary markets are Orlando, Fla., Jacksonville, Fla., Charlotte, N.C., Raleigh, N.C., and Phoenix, and closed 2,465 homes in 2016. It constructs communities for those 55 years and older as well as people of all ages.
Creating a joint venture with a homebuilder is one strategy mortgage lenders are employing to survive the inventory shortage. In December, Dallas-based PrimeLending created a joint venture with Grand Homes, also headquartered in Dallas.
"We are excited that the next generation of AV Homes' customers will be among the first to use our innovative mello technology thanks to this joint venture partnership," said Dan Pena, senior vice president of national joint ventures for Irvine, Calif.-headquartered loanDepot, in a press release. "We're confident that they will be delighted with the seamless purchase experience that mello will provide."
Another recent joint venture for loanDepot is with OfferPad, which purchases homes from consumers looking to move. OfferPad Home Loans provides bridge loans to people who otherwise would have trouble getting financing for a home purchase before a sale clears.
AVH Mortgage will operate out of centralized offices in Scottsdale, Ariz.
"The AVH Mortgage venture demonstrates our ability to leverage our growing business to efficiently provide value added benefits to our customers and shareholders," said AV Homes President and CEO Roger Cregg.