Real estate crowdfunder lending to everyday homebuyers

LendingHome is testing 'non-qualified mortgage programs'
  • Prospective owner-occupied homebuyers who can't qualify for traditional financing may be able to tap real estate crowdfunder for alternative financing.
  • LendingHome might bring benefits of crowdfunding to consumers.

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Prospective homebuyers who want to purchase homes to live in but can't qualify for a traditional mortgage may soon be able to obtain a loan from a real estate crowdfunder. LendingHome -- which has raised over $550 million from institutional and individual investors to fund mortgages for developers -- is in the process of expanding into funding mortgages for owner-occupant homebuyers. "We’re here for the 10s of millions of creditworthy would-be homeowners who can’t get traditional financing," reads LendingHome's website. LendingHome says it wants to fund mortgages for borrowers who often have difficulty qualifying for a traditional loans, including small business owners, independent contractors, entrepreneurs and service workers. It's also seeking to meet the mortgage needs of people switching jobs, "on a tight timeframe," repairing credit, building credit and people with high debt, among other demographics. The firm says it's currently testing its "non-...