PennyMac Loan Services has launched a home equity line of credit product, with the objective of supporting the financing needs of consumers. The aim is to offer the banks 1.4 million customers another way to use their home equity for home improvements, debt consolidation and other expenses while allowing them to maintain their first-mortgage interest rates.
“We are excited to announce PennyMac’s entry into the HELOC segment of mortgage finance,” said Doug Jones, chief mortgage banking officer at Penny Mac. “We believe this is the right time to introduce this product to our customers who have seen the equity in their homes increase and want to keep their current first-mortgage interest rates. We expect our leading market position and operational capabilities to help fuel our HELOC production activities.”
PennyMac has begun accepting HELOC applications from current customers in five states: California, Florida, Oregon, Virginia and Washington, and will roll out the home equity product in additional states throughout the year. As the HELOC program expands, the company plans to offer it to homeowners who aren’t PennyMac clients.