CHM, which was founded in 1993, is licensed to lend in 26 states through its 25 retail offices and its wholesale channel. As part of the transaction, Mario De Tomasi, Chief Executive Officer of CHM, has joined the executive team of The Capital Corps. Mr. De Tomasi and CHM Founder Scott Simonich have also become strategic investors in The Capital Corps.
Steven Sugarman, Founder of The Capital Corps, stated, “We are thrilled to work with Mario, Scott and the Commerce Home Mortgage team. CHM is a strong lender that works on behalf of its employees, borrowers and partners. This transaction will allow The Capital Corps to become the leading lender for underserved, prime homeowners. We now expect our home mortgage originations to exceed $2 billion next year.”
The Capital Corps’ will offer proprietary lending programs through CHM. The Capital Corps target borrowers come from the 27% of the U.S. population the FDIC identifies as underbanked who are unable to obtain loans from banks due to overly burdensome or technical documentation requirements that do not reflect on the borrower’s true credit-worthiness. These non-traditional borrowers too often are forced to use subprime and hard money sources to finance their prime credit needs due to their inability to access traditional sources of capital. The Capital Corps programs and solutions that will seek to address the needs of these non-traditional prime borrowers are expected to launch during the first quarter of 2018.
Jeffrey Seabold, co-Founder of The Capital Corps, stated “I have been impressed with Commerce Home Mortgage for quite some time and I look forward to helping CHM realize its goal of becoming the home for the best brokers, originators, and partners in the industry.”
Seabold continued, “We expect Commerce Home Mortgage to become the preferred lender for non-traditional prime borrowers. We now have the platform, relationships, and team to address this significant market void effectively.”
Mr. De Tomasi stated “Over the past 25 years, CHM has provided a strong platform for loan officers to serve the needs of diverse homeowners. By joining forces with The Capital Corps, we will now be able to offer proprietary programs on our platform which will enable CHM to grow its business more quickly and prudently. I am excited to partner with Steven and Jeff and welcome both of them to the Board of CHM. Likewise, I am thrilled to work with Faith Bautista and the National Diversity Coalition as CHM continues to finance the dreams of America’s diverse populations.”
National Diversity Coalition President Faith Bautista, who serves as Chair of The Capital Corps’ Community Advisory Board, stated that “I am thrilled to partner with Commerce Home Mortgage – a company that understands and implements effective corporate responsibility and community development activities. Our membership is eager to support CHM and its brokers to increase access to capital to credit worthy borrowers of underserved communities. We look forward to connecting Commerce with banking partners and others who can help develop the products to better serve underserved communities.”
About Commerce Home Mortgage, INC
Commerce Home Mortgage, Inc. was incorporated in 1993 and is based in San Ramon, California. CHM originates home mortgages through its 25 lending offices located in California, Arizona, Colorado, Florida and Georgia. It provides home mortgage financing services and offers conventional loans that include fixed and adjustable-rate mortgages. CHM also provides government loans that include federal housing administration loans; VA home loan that are used for various different purposes, including purchasing or building a new home, refinancing a current mortgage, repairing or improving existing home, or installing home efficiency measures; and U.S. Department of Agriculture loans to farmers and other qualified borrowers with low to moderate incomes. In addition, it offers jumbo loans for large or luxury properties; reverse mortgages and loans for foreign nationals. For more information: http://www.commercehomemortgage.com/
About The Capital Corps, LLC
The Capital Corps, LLC empowers diverse small businesses, entrepreneurs and homeowners to pursue their dreams by expanding access to prime capital for non-traditional borrowers. The Capital Corps focuses on lending secured by residential real estate and provides credit counselling services to its borrowers. The Capital Corps has partnerships with the National Diversity Coalition and the National Asian American Coalition and community leaders to actively participate in the lending process through their Community Advisory Board to ensure its lending programs appropriately reflect the needs of the communities it serves. The Capital Corps’ team is led by its Founders Steven Sugarman and Faith Bautista and co-Founder Jeffrey Seabold. For more information: http://www.thecapitalcorps.com
About The National Diversity Coalition
The National Diversity Coalition is an official 501(c)(3) tax-exempt organization which is comprised of community organizers, faith-based leaders, nonprofit directors, and business owners working collectively for greater financial equality and empowerment for underserved groups. Together we work with corporate and government leaders to advocate for greater opportunities in homeownership, small business, and financial literacy for all people.
About The National Asian American Coalition
The National Asian American Coalition is a 501(c)3 Non-profit Organization, a HUD Approved Home Counseling agency and an IRS approved VITA site. Our primary mission is to empower twenty million Asian Americans and two million Asian American small businesses to become a national economic powerhouse. The NAAC is the nation’s leading Asian American nonprofit advocating against foreclosures, advocating for greater economic and small business development and in advancing the growing economic and social power of Asian Americans. For more information: http://www.naac.org/