Non-Qualified Mortgage Lender Serving California Business Owners
Non-QM lender offering Non-QM loan programs to California self-employed borrowers. California business owners need flexible non-qualified underwriter guidelines with favorable pricing, reasonable terms, and advantageous approval conditions (Conditional Loan Approval | CLA)) to increase their chances of getting approved for a reasonable mortgage without being required to produce documentation that will almost always eliminate their chances for success in obtaining an effective income documentation self-employed home loan approval.
IRS Form 4506-T and 4506-C Not Required
IRS Form 4506-C (previously 4506-T effective 5/1/2021) is a self-employed borrower home loan killer.
Unconventional income documentation such as Bank Statements, 1099’s and/or liquid Asset Depletion including Asset Distribution as an alternative to business and personal tax returns, P&L’s, etc. Form 4506-C for a W2 co-borrower is required to be signed and lender executed for W2 transcripts only, not tax transcripts regardless of primary self-employed and W2 co-borrower joint filing.
Purpose: Purchase, Rate & Term and Cash Out Refinance
Maximum Loan Amounts
For borrowers looking to purchase a home or refinance their existing mortgage, this program offers financing up to 90% loan-to-value (LTV) with just a 10% down payment. Whether you’re buying a new property or seeking a rate-and-term refinance, this option provides significant loan amounts while maintaining competitive terms.
For cash-out refinancing, borrowers can access up to $2,500,000 in cash for any purpose. Whether you need funds for home improvements, debt consolidation, investments, or other personal or business expenses, this loan allows for flexible use of equity without traditional income verification requirements.
Alternative Income Documentation
* 12 Months Personal Bank Statements (with and without 3 months business bank statements)
* 12 Months Business Bank Statements
* 24 Months Personal Bank Statements
* 24 Months Business Bank Statements
* Asset Depletion
* Asset Distribution – Seasoning Not Required
* Rental Leases with 3 Months Bank Statements (Including Short-Term such as AIRBNB)
* 1099 Only
* 1-Year 1040 Plus Schedule E
Niches:
* Non-Occupant Co-Borrower
* Maximum Loan-to-Values “LTV” for Purchase, R/T Refinance and Cash Out Refinance
* Jumbo to $10,000,000
* Super Jumbo to $30,000,000
Eligible Employment Types
Self Employed with >25% ownership and Sole Proprietor
Verification of Self-Employment Employment (VOSE)
* Business License
* CPA Letter (“Tax Professional”)Internet Business Listing
* Sellers License
Reserve Requirements
Subject Property PITIA (Principle, Tax, Hazard Insurance and Association Dues) – 6 Months
REO – 6 Months Additional for Each Real Estate Owned
Eligible Property Types
* Single Family Residence (SFR) – Attached
* Single Family Residence (SFR) – Detached
* Condos – < 4 Stories
* 2-4 Unit
Eligible Occupancies
Primary
Owner Occupied/Investment
Non-Owner Occupied/Investment
Second/Vacation Homes
Available Terms
ARM’s – 5 Year and 7 Year
* 30 Year Fixed and 40 Year Fixe
* Interest Only – 10 years
Required Credit Criteria/Credit Scores
Credit Scores: Tri-Merge Report
660 Middle Credit Score
“Housing Event” Credit Seasoning
* Bankruptcy – 3 years required
* Foreclosure – 3 years required
* Short Sale – 2 years required
* Deed in Lieu – 1 year required
Underwriter Notes:
* Form 4506-T Not Required
* First Time Home Buyers – OK
* Gift Funds from Immediate Family Member – OK
* Rent-Free Housing History – Not Allowed
* Prepayment Penalty Options Available
* Investors: Unlimited Financed Real Estate Owned (REO) – OK
We Service the Following California Counties:
Alameda County, Contra Costa County, El Dorado County, Fresno County, Kern County, Kings County, Los Angeles County, Madera County, Marin County, Napa County, Merced County, Monterey County, Orange County, Placer County, Riverside County, Sacramento County, San Bernardino County, San Francisco County, San Joaquin County, San Luis Obispo County, San Mateo County, Santa Barbara County, Santa Clara County, Santa Cruz County, Solano County, Sonoma County, Stanislaus County, Tulare County, Ventura County, and Yolo County.