More On The-QM Patch


Brian Stevens of The National Real Estate Post interviews Tom Hutchens, EVP, Production, Angel Oak Mortgage Solutions and John Hsu, Head of Capital Markets, Angel Oak Capital to better understand what the QM Patch expiration actually means. With so much misinformation and myths about the outcome if the CFPB kills it, NREP turned to Angel Oak to get the facts. Just call us the university of lending as we have been educating the industry on non-QM, regulation and responsible lending for many years now. So it just makes sense, then, that NREP would call on us for information.

This interview truly dives into what the QM Patch is, what the expiration means and how it affects Agency business and non-QM lenders. Tom and John dispel the myths and clearly state the facts. If you aren’t sure what this means because of all the clutter surrounding this issue – this interview will clear it up.

Here a few great questions Brian posed to Hsu and Hutchens:

  • How will the QM Patch expiration affect non-QM?
  • Find out how losing the Patch will actually lead to more responsible lending.
  • Will the Ability To Repay rule continue? Tom explains ATR in more detail and if the QM Patch has any effect on this regulation. 
  • Will the expiration lead to an increase of risky loans entering the market? This might be the most common misperception. Listen to the video and put your fears to rest.

The interview is full of straight forward factual information you need to know. The bottom line remains the same, though, Patch or no Patch. Non-QM remains the largest growing sector in the industry by far. Anyone not offering non-QM is missing out on a lot of business. A loan officer still asking how to grow their business needs to pick up the phone and call Angel Oak. Stop turning away business – we can tell you HOW to help these people get approved. Why work with anyone but the best in non-QM?

Watch the video here: