Deephaven Mortgage Enhances Nationwide DSCR Lending with Lightning Docs Integration

Deephaven Mortgage Revolutionizes DSCR Lending with Lightning Docs Integration

In a significant development for the private lending sector, Deephaven Mortgage, one of the top ten Non-QM (Qualified Mortgage) lenders in the United States, has announced the successful integration of a custom API in collaboration with Lightning Docs. This innovative partnership is set to redefine how DSCR (Debt Service Coverage Ratio) loans are processed, streamlining the creation of lending documents and significantly improving operational efficiency.

The Power of API Integration

Deephaven Mortgage made its mark in the lending landscape back in 2012 as a pioneer in Non-QM lending. With an aggressive expansion into the DSCR market in 2017, the company identified a critical need: to operate effectively and responsively within this growing sector. The solution? A tailored API integration with Lightning Docs, which specializes in producing legal documents for private lenders. This integration allows Deephaven's team to generate complete DSCR loan document packages in mere seconds—transferring necessary loan data directly from their proprietary loan origination system into Lightning Docs’ platform.

Before this integration, creating documentation for loans was a cumbersome process that not only took substantial time but also involved significant costs. Now, with the automation provided by Lightning Docs, Deephaven can produce documents quickly, enabling the company to scale operations exponentially. Furthermore, it showcases how leveraging technology can lead to faster and more efficient business operations within the traditional lending framework.

Lightning Docs: A Trusted Partner

Lightning Docs is renowned for its extensive expertise in legal aspects surrounding business-purpose lending. The platform not only ensures that documents are tailored specifically for DSCR loans, which may cater to entity borrowers, but also adheres to compliance regulations across all 50 states and Washington D.C. This comprehensive compliance framework has proved invaluable for Deephaven as it seeks to scale its DSCR business responsibly and effectively.

Dank Pinckney, Deephaven’s General Counsel and Chief Compliance Officer, acknowledged the limitations of their previous document platform, particularly in addressing the nuances of DSCR loans. “Lightning Docs not only delivered the right documents—they continue to be an ongoing partner in helping us navigate the regulatory landscape for business-purpose loans,” stated Pinckney, underscoring the importance of having a specialized solution tailored to their operational needs.

Remarkable Growth in DSCR Loans

The effectiveness of the integration is evident in the striking increase in the number of DSCR loans Deephaven has been able to close since the partnership with Lightning Docs began. In May of 2023, Deephaven successfully closed 16 DSCR loans. Fast forward five months, and that number almost doubled, reflecting the heightened efficiency brought about by the new document automation. In just one year, production soared to 199 DSCR loans, and projections indicate that the company is now closing over 300 DSCR loans monthly using the streamlined system.

Nema Daghbandan, CEO of Lightning Docs, praised Deephaven’s strategy: “Deephaven's success highlights what's possible when Non-QM lenders take a deliberate approach to DSCR lending. By choosing to leverage document automation designed specifically for business-purpose loans, they've built a more efficient and compliant operation that can scale with greater confidence.”

Conclusion: A New Era for Private Lending

Deephaven Mortgage’s collaboration with Lightning Docs exemplifies a significant shift in the lending industry. By prioritizing technology-driven solutions, they have removed the traditional barriers associated with slow and costly loan processing, setting a new standard for efficiency in the industry. With their thorough understanding of the lending landscape and a dedicated approach to partnership, Deephaven and Lightning Docs are leading the way toward a more efficient future in DSCR lending.

About Deephaven

Deephaven Mortgage was established to serve the millions of Americans who struggle to qualify for conventional loans. Operating through a network of over 1,000 independent mortgage brokers and collaborating with more than 200 correspondent partners, Deephaven is headquartered in Charlotte, North Carolina, and is supported by Pretium—a specialized investment manager focused on real estate and mortgage finance.

About Lightning Docs

Initially developed by Fortra Law partners, Lightning Docs is the leading automated loan document software tailored for business-purpose lenders. The platform enhances operational efficiency by producing high-quality, compliant loan documents, aiding lenders in scaling their operations effectively. Prevalently utilized by 60% of the nation’s top private lenders, it represents a formidable shift in how loan documentation is handled nationwide.