MPF Direct

MPF® Direct is a jumbo loan product that offers you the opportunity to access private capital by selling your fixed-rate mortgages into the secondary market. You can obtain liquidity for loans up to $2.5 million.

Features

There are 5 eligibility options for the MPF Direct product:

  • Select QM: Designed for super prime borrowers with strong income, credit and asset profiles.
  • Select 90 QM : Similar to Select QM, but for pirmary homes only. It adds the allowance of up to 90% LTV on purchases and rate/term refinances.
  • Select Non-QM: Fits the Select QM borrower profile with the addition of at least one non-QM attribute.
  • Choice QM: An expanded guideline option for borrowers who may have slightly lower credit scores and/or reserves. Other flexibilities include non-warrantable condo features, non-occupying co-borrowers and condotels. 
  • Choice Non-QM: Combines the expanded guidelines of Choice QM with the addition of at least one non-QM attribute. 
MPF Direct Product Comparison Chart

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  • Maximum LTV: 90%
  • Loan Limits: Up to $2.5 million
  • Occupancy: Owner-occupied, second homes, and non-owner occupied
  • Property Type: 1 to 4 units
  • Delivery Commitment: Best Efforts
  • Remittance: Servicing Released only
  • Master Commitment Size: $10 million minimum

All loans must meet the QM/ATR requirements established by the Consumer Financial Protection Bureau (CFPB).

Loan Types

Conventional, fully amortizing fixed rate loans

  • Terms of 10, 15, 20, 25 and 30 years


Hybrid ARMs

  • 5/1, 7/1 and 10/1 ARMS
  • Fully amortizing, 30 year terms
  • Caps: 2/2/5 (initial, subsequent and lifetime) all ARMs
  • Caps: 5/2/5 allowed on 7/1 and 10/1 ARMs

Benefits

  • Offer competitive fixed-rate and 5/1,7/1, 10/1 hybrid ARM, jumbo residential mortgage loans to their borrowers without Metropolitan Statistical Area (MSA) restrictions
  • Loan amounts from $510,401 – $2,500,000
  • Transfer the interest rate and credit risks of the jumbo loan to an investor
  • Delivery commitments are best efforts only

Servicing Options

  • Servicing Released option only