There is a huge need for such a program and very few lenders in the country offer this. By launching this program we will be able to fill a big void in the marketplace.
San Jose, CA (PRWEB) November 29, 2012
Arcus Lending recently announced the launch of their new Home Equity Line of Credit (HELOC) program which will help eliminate the need for private mortgage insurance (PMI) for thousands of borrowers who can't put 20 percent down payment. The HELOC will be offered up to 89.9% of the home value and will be available for both home refinance and purchase loans. Such kind of loans are popularly known as 80/10/10 loans, where the first mortgage is 80 percent of the home value, second mortgage or HELOC is 10 percent and the rest 10 percent is the down payment by the borrower.
"There is a huge need for such a program and very few lenders in the country offer this. By launching this program we will fill a big void in the marketplace and fulfill the needs of our clients even better", said Smita Wadhawan, CMO of Arcus Lending.
While these loan programs were very common during the early part of the century, the mortgage meltdown resulted in lenders withdrawing from offering HELOCs with less than 20 percent equity in the house. The return of HELOCs with only 10 percent equity is definitely an encouraging sign and would be welcomed by the borrowers who can't afford or don't want to put 20 percent down payment. Till recently when this option was not available, such borrowers had no option but to pay for private mortgage insurance or get a loan insured by Federal Housing Administration (FHA). FHA loans too carry a hefty mortgage insurance both up front and monthly.
"We are licensed to originate loans in the states of California, Washington and Oregon. We will be offering this program to home owners and future home buyers in all these three states. We have created a special page on our blog to provide more details on how to qualify for this loan program", said Shashank Shekhar, CEO of Arcus Lending.
About Arcus Lending:
Arcus Lending is a Mortgage Broker and a Direct Lender in California with offices in San Jose and Fremont. They offer a variety of loan programs for residential mortgages, quick closing and legendary customer service. They can be reached via email at Info(at)ArcusLending(dot)com and via phone at (408) 615-0655 or via their website.