PHH Mortgage unveils revamped non-QM options

PHH Mortgage Corp., a subsidiary of Onity Group, on Monday introduced a new suite of nonqualified mortgage (non-QM) products designed to serve its correspondent lending partners and a wide range of nontraditional borrowers.

The product suite, known as FlexIQ, is expected to launch Oct. 20, the company announced in a press release. It includes full documentation, alternative documentation and debt-service-coverage ratio (DSCR) loans for homebuyers working with PHH’s delegated and nondelegated correspondents.

“FlexIQ is our new proprietary product with a service-first approach that includes a single standard for underwriting across multiple product types, a dedicated support desk, and other necessary training, as well as other helpful resources,” Andy Peach, Onity Group’s chief growth officer, said in a statement.

“We anticipate that FlexIQ will serve as a cornerstone in expanding our non-agency product offerings to help our clients grow their business.”

Chief growth officer Richard Bradfield told HousingWire in an interview that FlexIQ isn’t the company’s first foray into the non-QM space. It replaces the Gold, Silver and Bronze programs that were previously offered to correspondents.

“What we’re doing here is really more or less revamping the product and making it more of a proprietary PHH version that we can go ahead and set up with our investor relationships and sell however we want to sell them,” Bradfield said.

PHH already has a massive presence in the correspondent channel through its conventional and government lending programs. Through the first six months of 2025, it ranked No. 7 in the nation with $9.1 billion in correspondent volume, according to Inside Mortgage Finance. That figure was up 33% from the same period last year.

Bradfield noted that the company’s correspondent partners include banks, credit unions and independent mortgage banks. PHH also works directly with homebuilders, including the largest companies with in-house mortgage divisions.

“They might be actively selling to Fannie and Freddie themselves, but in the nonagency space, quite often, they’re not really looking to set up investor relationships with larger entities, insurance companies and so on, or they’re not willing to take on the underwriting risk themselves,” he said.

“That’s where the nondelegated channel comes into play. So, really, it’s builders of all sizes that we’re eager to work with.”

In the release, PHH explained that its full documentation loans are designed for borrowers who seek financing beyond the conforming loan limits. Its alternative documentation product targets borrowers that don’t rely on W-2 income sources. And its DSCR offering is for real estate investors who wish to qualify on rental income.

Investors continue to play a significant role in the housing market as they accounted for 29% of single-family home sales in June 2025, according to Cotality data.

Bradfield said Onity and PHH are using various technologies, including artificial intelligence, to streamline the non-QM lending process through faster decision making in underwriting exceptions and income analysis.

“We think that what we’re rolling out is going to be very competitive with the market in both price as well as product parameters,” Bradfield said. “I think the key thing there that’s going to make it attractive to our correspondent relationships is the customer experience aspect of it.”