“The average loan officer cannot read tax returns, they are very confusing and can include a lot of extras. Account statements are actually easier (to understand) – an account statement is a good loan, ”he said.
One of the non-QM hallmarks of Angel Oak is that each loan has a fixed 30-year program, which Hutchence says eliminates confusion for the borrower.
He said, “They know what their payments will be today, next year, five years from now, 10 years from now, and until the term of the loan.”
In 2019, COVID was produced without using QM $ 25 billion, but as a “safe environment” for investors, it has much more potential for growth, Hutchence insisted.
“We believe the market is 10 times larger than it is today. The potential for volumes without QM is such that it should be in the range of $ 300 billion per year, ”he concluded.