Figure acquires top RTL Lender Kiavi in $717M deal

Plus: Credit demand is softening, and high-income borrowers are pulling back the most

June 12, 2026

👋 Welcome back to Mortgage Nuggets! We scour 100+ sources so you don’t have to. Today's newsletter is 645 words, a 2.5-minute read, let’s dive in…

Disclaimer: Average mortgage rates as of June 11, 2026. © MND Daily Rate Index.

1. Figure acquires top RTL Lender Kiavi in $717M deal

Figure Technology Solutions is buying Kiavi, the fix-and-flip and DSCR lender formerly known as LendingHome, in a $717 million deal.

Figure acquires Kiavi's technology and platform, while a joint venture with Sixth Street buys the balance-sheet assets. Kiavi CEO Arvind Mohan joins Figure as chief business officer.

The deal adds more than $7 billion per year in first-lien volume to Figure's marketplace. Kiavi reported over $250 million in revenue and $100 million in EBITDA last year and has funded more than $30 billion in loans since 2013. Figure expects first-lien products to reach 40% of its marketplace volume by end of 2027.

Figure is financing the deal with $600 million in senior unsecured notes, with Sixth Street contributing $179 million and $3 billion in forward purchase commitments.

2. MBA calls for unified AI framework as mortgage lenders race to adopt the technology

The MBA released a white paper urging the mortgage industry to develop a unified, principles-based framework for managing AI risk, arguing that rapid adoption across origination, servicing, and customer engagement has outpaced regulatory guidance.

A key unresolved question: can a mortgage be originated entirely by AI? Current TILA and Regulation Z disclosure requirements effectively require a licensed human loan officer to be named on every loan.

MBA recommends lenders maintain a "human in the loop" approach, even when AI handles most of the process, and warns that misleading borrowers into thinking a human is overseeing an AI-driven transaction creates consumer protection risk.

3. More Nuggets

⚖️ OneTrust Home Loans sues UWM, E Mortgage Capital. (NMN)

📈 Why purchase applications are rising even as mortgage rates climb. (HousingWire)

💼 Trump taps former CFPB deputy Brian Johnson to lead bureau. (FedNews)

💵 Why mortgage servicing became the most valuable asset in lending. (NMP)

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4. Unlock closes $358.5M home equity agreement securitization

Unlock Technologies completed its first securitization of 2026 — and the largest HEA securitization in the market this year — backing 3,546 home equity agreements with $358.5 million in notes. The deal was oversubscribed and attracted six first-time participants in Unlock's securitization program.

It's the company's seventh rated securitization overall and the first broadly syndicated deal sponsored by D2 Asset Management. Senior Class A notes received an A (low) rating, mezzanine Class B notes BBB (low), and subordinate Class C notes BB (low).

“That breadth of participation underscores how this market is maturing and how investor appetite for the asset class continues to deepen,” Peter Silberstein, Unlock’s chief capital officer, said in a statement.

5. Credit demand is softening — and high-income borrowers are pulling back the most

TransUnion's Q2 2026 Consumer Pulse Study found that 28% of consumers plan to apply for or refinance credit in the next 12 months, down from 33% a year ago. The sharpest drop came from high-income households, where credit-seeking intentions fell from 44% to 31%.

Inflation remains the top financial concern at 83%, with gas prices a close second at 71%. Gen X is feeling the most pressure — 43% called housing costs unaffordable, and 62% said the same about gas.

The bright spot for mortgage professionals: borrowers who named interest rates as a top concern were more likely than average to plan a refi or new mortgage application, suggesting rate-sensitive consumers are still watching for opportunities.

☀️ You’re all caught up. See you on Monday!

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