Brokers First Funding Launches First- And Second-Lien Non-QM HELOC – NMP Skip to main content

Brokers First Funding Launches First- And Second-Lien Non-QM HELOC

Jul 17, 2026
Brokers First Funding Launches First- And Second-Lien Non-QM HELOC
VP of Content

Wholesale lender targets self-employed borrowers and investors with alternative-documentation options and lines of credit up to $1 million

Brokers First Funding (BFF) has launched a Non-QM home equity line of credit program offering both first- and second-lien options, expanding the wholesale lender’s product lineup for self-employed borrowers, investors, and other clients with nontraditional income.

The program offers credit lines ranging from $100,000 to $1 million. Eligible primary-residence borrowers can qualify for up to 90% combined loan-to-value, while first-lien HELOC transactions are available at up to 80% loan-to-value, according to the company.

Borrowers may qualify using bank statements, a CPA-prepared profit-and-loss statement, full documentation, or debt-service coverage ratio. The program is available for primary residences, second homes and investment properties, with no reserve or cash-to-close requirements, BFF said.

The variable-rate HELOC carries a five-year draw period followed by a 25-year repayment period, for a total 30-year term. BFF lists a minimum FICO score of 680 and says pricing is based on the Wall Street Journal prime rate plus a margin.

“Mortgage professionals need lending solutions that create opportunities, not limitations,” BFF President Shabi Asghar said. “Our Non-QM HELOC program stands apart by offering both first- and second-lien options, along with flexible income documentation alternatives that help originators serve self-employed borrowers, investors, and clients who may not qualify through traditional channels.”

First-Lien Option Broadens The Opportunity

The inclusion of a first-lien HELOC gives brokers an option for borrowers who own their homes free and clear or otherwise need a revolving line of credit in the first-lien position. The second-lien structure, meanwhile, allows homeowners to access equity without replacing an existing mortgage that may carry a substantially lower rate.

BFF said potential uses include debt consolidation, home improvements, business expansion, real estate investment, and other liquidity needs.

For originators, the combination of first- and second-lien structures is the program’s most notable feature. Much of the recent growth in home equity lending has centered on homeowners protecting low-rate first mortgages. A first-lien option extends the potential borrower pool beyond that rate-lock narrative, including homeowners without an existing mortgage.

Home Equity Competition Intensifies

The rollout comes during a resurgence in home equity lending. Second-lien originations reached an 18-year high during the first quarter of 2026, according to recent ICE Mortgage Technology data. More than half of the equity withdrawn during the quarter came through HELOCs and other second liens.

Average second-lien HELOC rates fell to 6.6% in March, their lowest level since late 2022, as lenders competed more aggressively for home equity business.

Non-QM lenders have increasingly positioned HELOCs as an origination opportunity for self-employed borrowers and real estate investors who may not satisfy traditional income requirements. Truss Financial Group recently introduced a digital HELOC for those borrower segments, while Deephaven Mortgage raised the maximum line on its Equity Advantage HELOC to $1 million.

BFF’s alternative-documentation options place its new program within that broader competition for equity-rich borrowers whose financial profiles fall outside conventional underwriting.

The Costa Mesa, California-based wholesale lender has been expanding its Non-QM platform and broker network. In February, BFF moved into an expanded headquarters, which the company said would provide additional capacity for higher origination volume and continued growth.

 

About the author
VP of Content
Czarinna Andres is Vice President of Content at NMP, where she leads editorial strategy, content development, and coverage of the trends, policies, and business decisions shaping the industry. Her work focuses on delivering…
Published
Jul 17, 2026
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