Bank Statement Jumbo to 90% LTV Financing Guidelines
12 Months Bank Statements or One Year 1099 “1099 Only Program”. Form 4506-T and 4506-C Not Required
This program simplifies the income verification process compared to the typical personal bank statement loan program which would require 2-3 months supporting business bank statements. Sole proprietors can also qualify with 12 months personal bank statements along with their 1099s for additional income. So sole proprietors can use a one-year 1099 or 12 months bank statements or both!
Personal Account – 0% Expense Factor (100% deposit utilization)
Eligible Transactions:
- Purchase – 10% Down Payment
- Rate & Term Refinance – 90% LTV
- Cash Out Refinance – 80% LTV: $1,500,000 Maximum Cash Out
Eligible Employment Types:
- C Corp
- S Corp
- Independent Contractor
Super Jumbo Loan Amounts to $4,000,000 – 75% LTV
Verification of Employment (VOE)
- Business Organization Paperwork ex: Articles of Incorporation
- CPA/Tax Professional Letter stating Percentage of Ownership and number of years business existence.
- Business License
- Sellers License
- Internet Business Listings
Reserves Requirements: 6 Months (PITI/PITIA). Note: cash out does not qualify as reserves
Credit Criteria: “Life Event” Credit Seasoning:
- Bankruptcy – 12 Months 17
- Foreclosure – 24 Months
- Short Sale – 12 (unless included in bankruptcy counts as one event years required)
- Deed in Lieu – 2 Years Required
Non-Prime options also available. Non-prime mortgage loan programs don’t require the standard five or seven years credit seasoning on the “life credit events” people deal with for stuff like this.
We can accommodate folks that have a 12-month seasoning period for bankruptcy and Short sales, and 24 months for foreclosure. A short sale necessitates a 12-month wait unless included in a bankruptcy, counting as one event.
Required Credit Scores:
- 600 Minimum
- 660 to 80% LTV – $1,000,000 Maximum Cash Out
- 680 to 90% LTV – $1,500,000
Eligible Property Types:
- SFR Single Family Residence
- Second Home (75% maximum LTV)
- Condos – Warrantable Only
Eligible Occupancies:
- Owner Occupied
- Non-Owner/Investment
- Second/Vacation Homes
Available Terms:
- ARM 5/1 & 7/1, 30 year, and 40 year
- Fixed: 30 Year Fixed, 40 Year Fixed with Interest Only (I/O) Available
Underwriter Notes:
- First Time Home-Buyer – 85% LTV Max
- Multiple Foreclosures and Short Sales – OK
- 5% of Gift Funds must come from borrowers’ own funds. Source required.
Available in the Following States:
Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Hawaii, Illinois, Louisiana, Maine, Maryland, Mississippi, Nevada, North Carolina, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, and Washington.
Last Updated on 3 weeks ago by Broker Mortgages