Clayton Holdings Offers New Underwriting Solution for Fix and Flip Finance MarketTue July 19, 2016
Clayton Holdings LLC, a leading provider of loan due diligence, surveillance, REO management, consulting, valuation, title and settlement services to the mortgage industry, announced today that it has developed an end-to-end underwriting, valuation and due diligence solution for the growing “fix and flip” lending market.
The solution, which is currently being utilized by several major warehouse lenders, includes:
- Borrower underwriting: review of the borrower’s professional track record; business plan, credit and financial standing; liquidity analysis of balance sheet and tax statements; and synopsis of corporate structure.
- Property underwriting: review of purchase/sales agreement; title and loan reviews; BPO with “as-is” and “as-repaired” values; desktop and automated valuation reviews of original appraisals; plan and budget analysis.
- Project monitoring: twice-monthly reporting on rehab status, including building permits, HOA requirements, budgets and schedule; draw and release requests; property inspections and photos; and lien waivers, etc.
- Portfolio surveillance: Clayton’s RAMP surveillance solution can deliver customizable reports providing ongoing visibility into operational and financial aspects of the portfolio at the borrower, loan, and property level.
“Low interest rates, rising home prices and tight inventory are all driving the growth of the fix and flip investment market and attracting new liquidity from Wall Street and private investors,” said Jeff Tennyson, president of Clayton. “We have designed an integrated, one-stop solution for warehouse and hard-money lenders that draws on Clayton’s deep experience in underwriting and the unique skill sets in valuing and monitoring single-family rental properties that reside within our Green River Capital and Red Bell Real Estate subsidiaries.”
About Clayton Holdings LLC
Clayton Holdings LLC, a subsidiary of Radian Group Inc. (NYSE: RDN), provides risk-based analytics, residential loan due diligence, consulting, surveillance and staffing solutions. The company’s subsidiaries include: Green River Capital, customized REO asset management and single-family rental services; Red Bell Real Estate, advanced AVMs, BPOs and technology to acquire and track performance of loan portfolios and NPLs; ValuAmerica, national title and appraisal management company and vendor management technology provider; and Clayton Euro Risk, global services. For more information, call 877.291.5301 or visit www.clayton.com.