3 Month Business or Personal Bank Statements

Our 3 Month Program is the alternative to the 6-month, 12-month, and 24-month programs. We also have 1-month and 2-month options for credit scores >700. Income combinations OK including asset depletion with a minimum credit score of 620.

Co-Borrower W2’s + 30 days most recent paycheck stubs. Asset Depletion, etc. Minimum 620 credit score required. First Time Home Buyers to 80% LTV with 640 credit score OK.

Asset Depletion is also eligible to supplement bank statement income. Eligible liquid asset sources: Checking Accounts, Savings Accounts, Stocks, Bonds, Mutual Funds, Certificates of Deposit, Trust Accounts, Retirement, Pending Sale of Real Estate, Money Market, etc.

Non-QM Mortgage Origination Technique

We qualify borrowers using techniques for both income documentation and employment documentation to favorably determine the borrowers’ actual qualifications. This unique 3 month loan program is for any self-employed borrower (including Sole Proprietors) that cannot qualify with the typical full 12 or 24 months of bank statements, for whatever reason.

Reserve requirements vary based on the loan amount and overall risk profile. Larger loan balances generally require additional liquid assets to demonstrate the borrower’s ability to manage future mortgage obligations. The following reserve guidelines outline the minimum PITIA (Principal, Interest, Taxes, Insurance, and Association Dues, if applicable) requirements for this program. Details below:

Loan Amount / Reserve Requirements

• 250,000 to $1,500,000 – 6 Months Subject Property PITIA
• $1,500,000 to $3,000,000 – 12 Months Subject Property PITIA + 3 Months for each additional REO
• $3,000,000 to $5,000,000 – 24 Months Subject Property PITIA + 6 Months for each additional REO

Loan Amounts and Cash Out Refinance

• Purchase, Rate/Term Refinance, Cash Out Refinance – $250,000 – $5,000,000
• $2,500,000 maximum Cash Out amount for debt consolidation
• $1,500,000 maximum cash in hand

Eligible Employment Types: Self-Employed

• Self-Employed
• W2 Wage Earner Co-Borrower OK
• Real Estate Investors

Self-Employed Income and Employment Documentation

This bank statement program reduces excessive income and employment documentation requirements for self-employed borrowers by eliminating traditional income and employment verification requirements like tax transcripts making the approval process more straight forward based on your bank activity/revenue and overall credit profile, allowing for a more practical underwriting experience.

Employment Verification (VOE):

• Business License or Business Certificate If Applicable (equivalent)
• RCPA Letter or Equivalent Tax Professional
• Internet Company Listings, etc.
• Business Operating Agreement

Credit Event Seasoning Requirements and FICO’s:

• FICO Score 700:
• Housing Event Seasoning: 1+ Years
• Mortgage/Rent Lates Allowed: One 30-day Lates – Previous 12 Month

• FICO Score 680:
• Housing Event Seasoning: 2+ Years
• Mortgage/Rent Lates Allowed: Two 30-day Lates – Previous 24 Months

• FICO Score 660:
• Housing Event Seasoning: 3+ Years
• Re* Recent Mortgage Delinquency: Two 30-day Lates – Previous 36 Months

• FICO Score 640
• Housing Event Seasoning: 4+ Years
• Recent Mortgage Delinquency: Two 30-day Lates – Previous 48 Month

• FICO Score 620
• Housing Event Seasoning: 5+ Years
• Recent Mortgage Delinquency: One 90-day Late

Eligible Occupancies

• Owner Occupied
• Owner Occupied/Investment (including Airbnb)
• Non-Owner Occupied

Eligible Property Types

• SFR – Attached and Detached
• 2 Units
• 3 Units
• 4 Units
• Condominiums
• PUD

Loan Scenario Form – Credit Check Not Required

Available in the Following States:

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Hawaii, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Massachusetts, Michigan, Mississippi, Nevada, New Jersey, New Mexico, North Carolina, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Washington, and Wisconsin.

Last Updated on 3 weeks ago by Broker Mortgages