NOTE: While Rates are at all time lows or close on all of our conventional Loan Products like FNMA, FHA, and VA Loans, one of the effects of the Coronavirus situation was the enormous destabilization of the Jumbo Loan mortgage-backed securities (MBS) market that happened back in mid-March. We have great news!! Our team still has numerous, aggressively priced, Hi Balance, Non QM and Jumbo Mortgage Loans that the “typical” local Full service banks do not offer. We help Borrowers navigate these waters with our “Platform Technology”, which is great in a evolving market.

If you have questions, feel free to contact us at 866-310-1112 and let our technology and expertise work to find solutions. If you seek to start a new Real Estate Loan Analysis request simply click here.  

 

One of the more popular loan products we offer is known as a 5/1 ARM and “Non-Qualified” (NON QM) Home loan or “Non Qualified Mortgage”A Non-Qualified Mortgage (Non-QM) is any home loan that doesn’t comply with the Consumer Financial Protection Bureau’s existing rules on Qualified Mortgages (QM). Usually this type of mortgage loan accommodates people who are not able to prove they are capable of making the mortgage payments.  Just because it is a Non-QM mortgage loan does not necessarily mean high risk or subprime mortgage risk, and in many cases these correspondent mortgage loans require a high FICO score but simply do not check all the boxes associated with a QM loan.

The main difference between the two types of mortgage loans is that Non-QM loans for mortgages are protected by the lender against any type of lawsuit should you become unable to afford the mortgage loan.

 Who are “NON-QM” RE loans for?

Ideally for clients who can fully document their income, but maybe not always with tax returns or conventional documentation. They seek to:

• Unlock lots of equity in their Primary and investment properties via Non-QM Loans;
• 5/1 Jumbo Home Loan Solutions that may allow Full Doc with higher Debt to Income ratios than FNMA. (DTI)
• Use Credit scores over 700
• Manage monthly mortgage payments with an interest-only option
• Maybe use ratios that can be alleviated by Aggressive Asset Depletion guidelines
• Purchase, Refinance or Pull cash out of Conforming or Jumbo loan amounts in CA
• Aggressive Non-QM Loans offer Loan options with less documentation, like Banks Statements, 1 year tax returns, Stated Income and so forth.
• Borrowers should have strong credit, personal financial and employment strength, and equity to qualify for the best rates.

Here are some Current Residential Loan highlights:

• • Still Available terms are 5/1 ARMs with IO option
  • Purchase, Rate and Term & Cash Out transaction types
  • Primary Purchase or Rate and Term Refinance  to 60% Loan to Value
  • Second home & Investment properties to 55% Loan to Value
  • Cash out to 55% on Primary
  • Loan amounts up to $2 million
  • 680-700 Min minimum credit score
  • Up to 50% DTI
  • Loan To values generally vary based on documentation, loan amounts.  60% LTV is typical with Non QM right now
  • No seasoning requirements for refinances: R/T & Cash Out
  • Documentation types include 12 & 24 month bank statements, asset depletion, 1 or 2 years full doc & 1099 option
  • Bank statement and 1099 on all occupancy types
  • First time home buyers allowed on all documentation types
  • Asset depletion may be used on a stand alone basis or in combination w/all documentation types
  • 12 month seasoning from major credit event
  • Borrowers are allowed up to 15 financed properties including subject – unlimited properties if purchasing primary residence
  • Gift funds are allowed
  • We are often able to close these loans in 30-45 days or less once we have required documentation. We are here to help in these unique times!

  • If you seek to just start a new Real Estate Loan Application or have questions, please phone 866-310-1112 or simply click here.