Where in the World is Non-QM? A Mortgage Media Discussion with Robert Senko of ACC Mortgage

The shocks that hit the credit markets in mid-March had already caused disruptions to the non-QM segment – these were however compounded when the last two of the large investors Angel Oak and Citadel also bowed out.

Many lenders not only stopped new loans, but also had to pull loans from the pipeline.  However, not all lenders have abandoned the non-QM space.  Mortgage Media recently spoke with Robert Senko, the President of ACC Mortgage based in suburban Maryland, survivor who continues to lend in what is a very challenging environment .

Senko discussed how this crisis is different because investor appetite seized up in a different way than in the 2008 crisis. Because ACC has been in the Non-QM business with its investor relationships for so long, and due to its size and expertise, it was able to retain the confidence of its investors in a challenging environment.

“It’s not always bigger is more stable. Big trees fall hard,” Senko told Mortgage Media. “So where we were smaller, we could adjust much quicker after March 20 to change our corporate structure and staffing models, but continue to sell and trade. And we had, knock on wood, some excellent trading partners that didn’t pull out of the market. They may have shrunk their box a little bit, but we continue to be able to sell loans to them.”

Robert Senko has more than 20 years of experience in the realm of real estate and financial services.  Mr. Senko entered the mortgage industry as a junior loan officer in 1993 when applications where handwritten and fax machines where a novelty.  Since that time he led one of the first successful efforts to use mortgage-backed securities in non-prime space.  He went on to sell the first company he founded to a publicly traded institution.  He founded ACC Mortgage, Inc. in 1999, a multi-service platform offering traditional Fannie Mae, Freddie Mac, FHA and VA products and proprietary portfolio products.  ACC Mortgage has grown year over year and also has servicing platform for both performing and non-performing loans.  

Listen to Suresh Ramakrishnan’s interview with Robert Senko below.