Citadel Loan Servicing, one of the most active non-prime lenders operating today, has increased its maximum loan size to $1.5 million from $1.0 million, company CEO Dan Perl said this week.
The privately held nonbank has carefully ratcheted up the maximum from $750,000 to $1 million and now $1.5 million.
Citadel, which has been funding non-prime loans for almost a year, expects to close upwards of $15 million this month. The company’s loan volume is relatively small compared to prime lenders, but Citadel continues to grow originations while Fannie Mae/Freddie Mac lenders have experienced steep production declines this year.
“Right now we have $33 million in the pipeline,” Perl told IMFnews. “We could do $15 million next month.” For an update on the non-agency market see the upcoming edition of Inside Nonconforming Markets.