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Earn Residual Income Utilizing Non-QM

Non-qualified mortgage lending offers considerable opportunities for correspondent lenders who are not yet partnered with an alternative mortgage financing firm. Those looking to grow their business should consider the unique opportunities for earning residual income to grow their businesses from non-QM mortgage financing products.

The reputation of the power of non-QM mortgage lending across wholesale, retail, and correspondent lending channels is growing, and people are realizing how top alternative mortgage financing options can provide a relatively safe and profitable channel of mutually-beneficial opportunities for wholesale mortgage originators, mortgage brokers, correspondent lenders, and non-qualified home buyers.

Loan officers are encouraged to reach out to the realtors they do business with and let them know the valuable skill sets you to bring to the table. Lenders and realtors can benefit from:

1.     Product Knowledge – Angel Oak’s non-QM products make it easy! Sell them on our private label Jumbo, Bank Statement, Investor Cash Flow, and Non-Prime programs to help them succeed with self-employed, investors and credit event buyers.

2.     Pre-Qualification – Our PreQual request and Quick Quote tools are easy to use and helps your client in a competitive housing market.

3.     Customer Service – Don’t be shy about how critical your role is in the process. Tell your realtors HOW you resolve problems and the suitable alternatives available to their clients. Angel Oak is always available to help, providing support and updates throughout the entire loan process.

4.     Quick Closing – Angel Oak’s team of experts, from the account executive to the underwriters, work hard to ensure a fast closing.

Residual income can boost your business’s balance sheet, utilizing portfolio products which consist of non-QM and non-Agency mortgages. Close a portfolio loan, set your calendar to follow-up with that client to refinance their loan, and get them to the closing table. We know it works because we have clients who have told us it does. 


Frank Garay, co-host of The National Real Estate Post and Angel Oak’s Tom Hutchens, EVP of production discuss how to create a strategy to earn residual income utilizing non-QM and non-Agency products.


Angel Oak Mortgage Solutions stands out by being the #1 non-QM lender in the nation as of last year. We offer correspondent alternative mortgage lending programs to help your borrowers who may not meet general agency financing guidelines, and with our guidance you’ll be able to expand your product offering and grow your business with our tailored programs. We offer a number of alternative mortgage lending programs geared toward correspondent mortgage lenders.

A non-qualified mortgage (non-QM) is any home loan that doesn’t comply with the Consumer Financial Protection Bureau’s existing rules on qualified mortgages (QM). Usually this type of correspondent mortgage loan accommodates people who are not able to prove they are capable of making the mortgage payments.

Just because it is a non-QM correspondent mortgage loan does not necessarily mean its high risk or subprime mortgage risk, and in many cases these correspondent mortgage loans require a high FICO score but simply do not check all the boxes associated with a correspondent QM loan. The main difference between the two types of correspondent mortgage loans is that correspondent non-QM loans for mortgages are protected by the lender against any type of lawsuit should you become unable to afford the mortgage loan.



Angel Oak Companies is an industry leader in delivering innovative mortgage credit solutions. Through our integrated platform, we deliver solutions across asset management, mortgage lending and capital markets.

Angel Oak Mortgage Solutions offers a breadth of alternative lending products to allow our clients to grow their business and better serve their customers. We re-connect qualified home buyers with the investor community to create a win/win/win for the borrower, originator and investor. As a highly entrepreneurial organization, we are able to quickly adapt to the needs of our clients and embrace a strong service-based culture.

Angel Oak Mortgage Solutions currently offers alternative correspondent mortgage lending services across Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Hampshire, New Jersey, New Mexico, Nevada, North Carolina, North Dakota, Oklahoma, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, Washington, West Virginia, Wisconsin, and Wyoming.