VEL – Velocity Financial Inc

Velocity Financial, Inc. is a vertically integrated real estate finance company. The Company primarily originate and manage investor loans secured by one-to-four unit residential rental and commercial properties, which it refers to collectively as investor real estate loans. It originates loans nationwide across its network of independent mortgage brokers. The Company’s portfolio includes loans held for investment and loans held for sale. Its loan is secured by a first lien on the underlying property with the added protection of a personal guarantee. Its loan portfolio totaled $2.1 billion of unpaid principal balance (UPB) on properties in 45 states and the District of Columbia. The Company funds its portfolio primarily through a combination of committed and uncommitted secured warehouse facilities, securitizations, corporate debt and equity. The Company’s primary products is a 30-year amortizing term loan with a three-year fixed-rate period which floats at a spread to the prime rate.