eRESI Mortgage Secures Majority Investment from Global Atlantic—What It Means for the Mortgage Market

The residential mortgage landscape just got a significant shake-up. eRESI Mortgage, a key player in the Non-Agency mortgage funding space, has announced that Global Atlantic Financial Group—a major life and annuity insurance powerhouse—is taking a majority stake in the company. This isn’t just a funding round; it’s a strategic move that signals serious confidence in the Non-Agency mortgage sector.

The Deal: Who, What, and Why

eRESI Mortgage will now operate under its newly established parent entity, eRESI Capital LLC, with Gregory Tsang continuing as CEO and Tim Wang as President. Global Atlantic, which is itself majority-owned by KKR, has committed capital to become eRESI’s primary backer. For those unfamiliar with the space, eRESI has been operating since 2019 and has carved out a strong position as a liquidity provider in the Non-Agency residential whole loan market—think of it as the alternative pathway for mortgage funding when traditional channels don’t fit.

Why This Matters

The Non-Agency mortgage sector has been evolving rapidly, and eRESI has been at the forefront of that change. The company doesn’t just provide capital; it’s built a comprehensive platform combining deep market expertise, credit underwriting capabilities, and technology infrastructure. Over the years, it’s processed billions in Non-Agency transactions across its Charlotte and Pasadena offices, serving mortgage banking partners nationwide.

“This strategic transaction will accelerate our growth and broaden our capabilities,” Gregory Tsang noted, emphasizing that the partnership will help scale their credit products and services. On Global Atlantic’s side, Anup Agarwal, their Chief Investment Officer, highlighted that the Non-Agency loan business is a critical component of their portfolio—and they’ve been impressed with eRESI’s team and execution.

What Comes Next

With Global Atlantic’s backing, eRESI is positioned to expand its reach in the Non-QM mortgage sector and offer an even wider spectrum of solutions to financial institutions. The combination of eRESI’s operational expertise and Global Atlantic’s capital markets prowess creates a more formidable player in an increasingly complex mortgage funding landscape. For borrowers and mortgage originators, this likely translates to more competitive options, better liquidity, and faster execution in a market segment that’s become increasingly important as alternative mortgage solutions gain traction.

The deal underscores a broader trend: traditional capital sources are doubling down on the Non-Agency space, recognizing both the risk management opportunities and the market demand that eRESI has been serving all along.