Stated Income Alternative Document Loans
In the ever-changing world of lending regulations, income documentation has become pivotal for proving that borrowers have the ability to repay their loan. At Legacy Park Mortgage, we specialize in navigating the various alternative ways that our clients can use to document their income. We have non-qualified mortgage products for investors and business professionals to be able to purchase or refinance with alternative loan products such as Stated Income, No Ratio or even No Doc loans. These loans allow for alternative forms of documentation and can take the stress out of having to produce tax returns and other documentation to show that you can afford to repay the mortgage loan.
Since they are not government insured, they allow for lenders to determine their own guidelines, as long as the borrower can demonstrate a capacity to make the payments.
With a stated income loan, the lender’s income requirements can be satisfied solely on your word rather than income documentation. However, the lender may require you to provide bank statements or other documentation to show that you have the ATR (Ability To Repay) the loan. Similarly, “No Ratio” loans may not require income documentation, and do not take your debt-to-income ratio into account (i.e. how much you owe versus how much you make). This type of loan is usually made based on the your down payment, credit score or assets. “No Doc” mortgage lenders will require no or minimal documentation of any kind.
Stated Income Program Highlights:
- 75% max LTV on a purchase
- 70% max LTV on a refinance
- Fixed or ARM’s available
- SFH’s, Condos, Townhouse, 2-4units
- Owner Occupied, 2nd homes and Investment properties allowed
- Minimum credit score of 500
- $100,000 minimum loan amount
- Foreign Nationals allowed
- No pre-payment
Who needs Non-QM Financing?
- Borrowers with recent credit issues (foreclosure, bankruptcy, late mortgage payments etc.)
- Self-employed borrowers
- Do not show enough income
- Do not have a 2 year work history
- Foreign Nationals
- Investors: Business Purpose Loans
- Loans based on DSCR (Debt Service Coverage Ratio)
- 100% of rent used
- Borrowers with high debt ratios, but have enough assets and reserves to make up for this.
- Borrowers who cannot refinance conventionally and are reaching the term end, or balloon payment
If done right, acquiring such a loan can be a tremendous advantageous for you to meet your investment, personal and financial goals. Legacy Park Mortgage can help you make an informed and beneficial decision by presenting you with a variety of stated income or alternative documentation loan products.
For more information, contact us at 305-570-2139 or email@example.com to learn more.