Lite Doc Jumbo and Super Jumbo Mortgage
Purpose: Purchase, Rate/Term and Cash Out (6 Months Purchase/Title Seasoning for “Current Market Value”)
Wage earners may qualify using a streamlined income documentation option that verifies current employment and earnings without a two-year income history. This Lite Doc approach is designed for borrowers with stable W-2 employment and may require only one year of employment verification, the previous year’s W-2, a current year-to-date pay stub, and verbal confirmation of active employment. A signed and executed IRS Form 4506-C may also be required to validate the income documentation provided.
Wage Earner Income Documentation – Lite Doc
- One (1) Year Employment Verification
- Previous Year W2 and YTD Paycheck Stub
- Verbal Verification of Employment
- 4506-C Signed and Executed
Bank statement loan programs offer multiple income documentation options for self-employed borrowers, allowing the loan structure to be matched to the borrower’s available records and recent cash flow. Depending on the lender and the borrower’s overall qualifications, income may be documented using personal or business bank statements covering periods from one month to 12 months, with certain programs also allowing a profit-and-loss statement to support or supplement the deposit analysis.
Bank Statements for Income: 8 Options:
- 12 Months Business or Personal Bank Statements
- 6 Months Personal Bank Statements
- 3 Months Personal Bank Statements
- 2 Months Business Bank Statements
- 1 Month Personal Bank Statement
- 12 Month + P&L (Profit & Loss Statement)
Eligible Employment Types
- C Corporation
- S Corporation
- Independent Contractor, LLC, Partnerships
Alt Doc Self-Employment VOE Document Options
- Business Entity 1 Year:
- Articles of Incorporation
- Evidence of Ownership: 2 Years: Business License, CPA Letter
- Schedule C’s
Wage Earner Co-Borrower: Co-Borrower Verbal Verification of Employment
- Liquid Assets Requirements – Separate Sources of Funds Must be Documented and Verified:
- 85% LTV – 6 Months PITI
- 80% LTV – 3 Months PITI
Eligible Property Types: SFR – Detached; SFR – Attached; Warrantable Condominiums; PUD’s.
Eligible Occupancies: Owner-Occupied; Non-Owner Occupied / SFR Investment
Credit Criteria and Scores
- Credit Score: 600 Minimum
- Credit Criteria Notes
- Mortgage – 12 Months, 0X30 Days Late. 24 Months, 0X60 Days
- Back Taxes, Judgments, Charge-Offs, Tax Liens, Title Liens. All Must Be Paid Before the Closing Table
Credit Seasoning Requirements
- Bankruptcy
- Chapter 7 – 24 Months
- Chapter 13 – 36 Months
- Foreclosure – 36 Months
Additional sources of income must be documented and verified.
Available in the Following States:
Alabama, Arizona, California, Colorado, Florida, Georgia, Hawaii, Illinois, Kansas, Kentucky, Maine, Nevada, North Carolina, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, and Washington.
Last Updated on 5 days ago by Broker Mortgages