Non-Traditional Mortgages

 

Homebridge offers a variety of non-QM products for non-traditional borrowers (e.g., self-employed, investors, asset-based) that utilize alternative qualification methods. These alternative methods of qualifying for a mortgage include:

We offer several bank statement products that allow self-employed borrowers to qualify their income using business or personal bank statements instead of a W-2 statement from an employer. This option uses cash flow rather than the conventional qualifications to assess creditworthiness. Borrowers must supply 12 months of personal or business statements and a letter from a CPA, EA or licensed tax preparer verifying self-employment. With this product, homebuyers can purchase a primary home valued at up to $1.5 or $2 Million, with up to 90% financing.

If a homebuyer has more assets than income, our asset qualifier product allows eligible borrowers to qualify by leveraging those existing assets. There is no employment or income required to be eligible for the loan; the qualification is based solely on the amount of post-closing reserves. With this product, homebuyers can purchase a primary home of up to $1.5 Million with up to 90% financing. Foreign National homebuyers are eligible for this product.

For real estate investors looking to add to their portfolios, our investor cash flow product allows them to qualify using a simple calculation of their monthly rental income as coverage of the mortgage payment for the subject property. There is no employment or income required. The qualification is based solely on the Debt Service Coverage Ratio of the subject property. This mortgage provides loan amounts of up to $2.5 Million with up to 80% financing. At least one applicant must demonstrate a 12-month history of managing rental properties. Foreign National homebuyers are eligible for this product.

For homebuyers who earn 1099 income as an independent contractor, freelance worker or salesman, they can qualify for a loan by documenting steady 1099 income for the past two years. For these loans, we use the previous 24 months of 1099 IRS forms as a measure of income. There are no tax returns or W2s needed. This is an excellent option for Real Estate Agents and other contract employees.

Related Resources:

How to Qualify for a Mortgage as a Self-Employed Professional

How to Buy a Home While Self-Employed

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Down Payments

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