12/24/2025
To allow for greater flexibility within our Non-QM program, Pennymac is updating guidance pertaining to Interested Party Contribution (IPC) limits. The update outlined below is effective for new applications dated on or after December 24, 2025.
IPC Limits – Investment Properties
- The maximum IPC for an investment property is now 6% (previously 2%).
- The limit is calculated using the lower of the sales price or appraised value of the subject property.
As a reminder, regardless of the maximum IPC percentage allowed, financing concessions must be equal to or less than the sum of the borrower’s closing costs. Any amount exceeding the borrower’s actual closing costs must be treated as a sales concession and subtracted from the sales price.
Refer to the Non-QM product profiles for complete requirements. Please contact your Sales Representative with any questions.