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• The Capital Corps announces the closing of its previously announced acquisition of Commerce Home Mortgage and the strategic expansion of CHM's retail branch network and mortgage banking team. • The Capital Corps sets third quarter 2018 launch for flagship portfolio lending product to serve the needs of non-traditional prime borrowers. .
IRVINE, Calif.--(BUSINESS WIRE)--The Capital Corps, LLC (“The Capital Corps”) announced today that it has been certified as a Community Development Financial Institution (“CDFI”) by the United States Department of the Treasury’s CDFI Fund. As a CDFI, The Capital Corps is now eligible to apply for membership to the Federal Home Loan Bank of San Francisco, to participate in the CDFI Bond Guarantee Program, to qualify for certain regulatory exemptions relating to consumer and mortgage lending, and to enable its banking partners to receive expanded Community Reinvestment Act credit. .
The Capital Corps’ Executive Chair, Steven Sugarman, stated “Certification as a Community Development Financial Institution marks an important milestone for The Capital Corps and will allow us to increase access to credit to those pursuing their American Dream. Following our launch six months ago, The Capital Corps has quickly grown its ranks to over two hundred fifty employees who are proud to fund over $1 billion in prime loans each year to qualified borrowers who remain invisible to traditional banks.” .
The Capital Corps also announced today the closing of its previously announced acquisition of Commerce Home Mortgage (“Commerce”), which will operate as a wholly-owned subsidiary of The Capital Corps. Commerce was founded in 1994 and is licensed by Fannie Mae, Freddie Mac, and Ginnie Mae as well as eleven states including Arizona, California, Colorado, Florida, Georgia, Maryland, Oregon, Texas, Utah, Virginia, Washington and the District of Columbia. .
Jeff Seabold, Vice Chair of The Capital Corps, stated “We are focused on ensuring that Commerce Home Mortgage provides a compelling platform for top mortgage bankers. Our CDFI certification will enable Commerce’s loan officers to expand their production by serving a broader universe of prime borrowers. We also continue to focus on enhancing Commerce’s people, technology, and proprietary lending products to ensure that Commerce offers a scalable platform built for growth.” .
Commerce also announced today the hiring of key, growth-oriented mortgage banking executives including Janet Hargreaves, James Sherriff, and Rick Cossano to support the strategic expansion of Commerce’s retail origination channel. Commerce’s Founder Scott Simonich and Chief Executive Officer Mario De Tomasi continue as owners and executives of The Capital Corps and Commerce. .
Mr. De Tomasi and Scott Simonich stated, “Commerce Home Mortgage has provided residential mortgage solutions to diverse homeowners for nearly twenty-five years. Joining forces with The Capital Corps and earning our certification as a CDFI strengthens our balance sheet, improves our liquidity, and enhances our loan officers’ ability to offer innovative portfolio lending solutions to our borrowers. Personally, we are thrilled to join The Capital Corps and believe it will benefit all Commerce employees. This transaction furthers our goal of ensuring Commerce remains a distinctive platform for top mortgage bankers seeking to grow their business.” .
The Capital Corps’ Community Advisory Board is comprised of representatives of the underserved communities it serves. The Chair of the Community Advisory Board is The Capital Corps’ Co-Founder Faith Bautista. Ms. Bautista is the Chief Executive Officer of the National Diversity Coalition, the Chief Executive Officer of the National Asian American Coalition, and a Presidential appointee to the U.S. Treasury’s CDFI Fund Community Advisory Board. .
Ms. Bautista said, “The American Dream inspires us to pursue opportunities to improve our lives and provide for our families and communities. Economic empowerment and access to capital is the oxygen that makes American Dreams possible. The National Diversity Coalition is proud to work with The Capital Corps to expand and strengthen access to capital across America and to empower more American Dreams.” .
The Capital Corps will launch its flagship non-traditional prime mortgage product through Commerce’s retail channel beginning in the third quarter of 2018. .
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 counseling services to its borrowers. The Capital Corps has partnerships with the National Diversity Coalition, the National Asian American Coalition, and diverse community leaders who 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 Commerce Home Mortgage, LLC .
Commerce Home Mortgage was founded in 1994 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 non-traditional prime loans, jumbo loans, reverse mortgages, and loans for foreign nationals. For more information: http://www.commercehomemortgage.com