In keeping with its “aim” of helping mortgage lenders target the underserved, Freddie Mac has introduced AIM (income and asset modeler) For Self-Employed, a solution for underwriting mortgage loans for self-employed borrowers.
AIM works in conjunction with Loan Product Advisor, Freddie Mac’s automated underwriting system (AUS).
The company claims it is the industry’s only AUS-integrated self-employed income assessment solution.
With proprietary technology provided by LoanBeam, AIM for self-employed simplifies underwriting of this borrower segment by automating a lender’s income calculation process and speeding up the mortgage application process while maintaining strong credit underwriting standards.
“There are millions of self-employed workers in the U.S. and that number is only expected to grow,” says Andy Higginbotham, senior vice president and chief operating officer, single-family, for Freddie Mac, in a release. “Loan Product Advisor’s AIM for self-employed borrowers provides our lenders with a new way to expand their business efficiently. It gives them a competitive edge to help grow their business in a tightening purchase market and gives them confidence they are delivering loans that align with Freddie Mac’s purchase eligibility requirements as captured in Loan Product Advisor.”
Self-employed workers now make up 10% of the U.S. workforce, according to the U.S. Bureau of Labor Statistics.
This demographic continues to be an important source of jobs for some 15 million people, and is expected to grow at the same, or faster rate, than the overall workforce.
“Together with Freddie Mac, AIM for self-employed borrowers helps us deliver cutting-edge technology to provide the very best customer experience,” says Kirk Donaldson, CEO of LoanBeam. “Automating income calculation is a game changer for lenders and their processing staff.”
Freddie Mac first announced that LoanBeam was integrated with Loan Product Advisor in October.