96.5% LTV Purchase Loan 630 Credit Score Update
Purchase and Rate and Term Refinance Only. No Cash Out
This high-LTV program provides an accessible path to homeownership with 96.5% financing available for borrowers with a 630 credit score. It supports purchase and rate-and-term refinance transactions only, ensuring a focus on long-term borrower stability. Cash-out is not allowed, which helps maintain responsible equity positions. The structure is well-suited for borrowers who need flexible credit parameters without sacrificing underwriting discipline.
Borrowers may qualify with a 55% maximum DTI, and the program applies exclusively to owner-occupied properties, including single-family homes, low-rise condos, and up to four units. A minimum of two months of reserves is required to demonstrate basic payment readiness. This combination of high leverage and reasonable reserve expectations makes the program appealing to first-time buyers and credit-challenged borrowers seeking a stable entry point into homeownership.
55% Maximum Debt Ratio DTI
* Owner Occupied Only
Property Types: SFR, Condos (<4 Stories), 4 Units
Assets: 2 Months Reserves required
Eligible Borrowers:
* Military Personnel
* Permanent Resident Aliens
* Non-Permanent Resident Aliens
Eligibility extends to military personnel, permanent resident aliens, and non-permanent resident aliens, creating a broad and inclusive borrower base.
Credit Notes and Summary:
Credit requirements include at least two tradelines with 24 months of activity, along with seasoning periods of two years after bankruptcy and three years after foreclosure. Housing, installment, and revolving credit histories must show no 30-day late payments during the past 12 months. Additional flexibility is provided for medical collections and charge-offs, while restrictions apply to recent judgments, tax liens, and vehicle repossessions.
* Need a minimum of two tradelines with a 24-month history
* Bankruptcy requires 2 years seasoning
* Foreclosure requires 3 years seasoning
* Mortgage or rent history, no 30-day lates for the last 12 months
* Installment Loans and Revolving Accounts, no 30-day lates for last 12 months
* No open judgments for the last 24 months
* No Tax liens for previous 12 months
* Medical Collections and Charge-offs OK
* No Car repossessions in previous 24 months
Available in the Following States:
Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Hampshire, New Jersey, New Mexico, North Carolina, Oregon, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, and Wyoming.
Reference# 784528091614841