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15
Jul

NON-QM ENHANCEMENTS

GUIDELINE UPDATES

  • TRADELINES
    • Provided the primary wage earner has three credit scores, the minimum tradelines are satisfied.

    • An alternative tradeline option has been added.

    • This does not apply to Foreign National or ITIN borrowers

  • TAX REPAYMENT PLANS
    • Now require a minimum of two (2) timely payments
  • CRYPTO CURRENCY, BITCOIN AND ETHEREUM
    • Are now elibible sources of funds
      • Note: these funds cannot be used for income under the asset utilization option
  • ALT DOC 1099
    • 1099 transcript may be used in place of the 1099's
  • BANK STATEMENT LOANS
    • Qualifying income is based on the calculated income (removed the comparison

      to the income on the signed 1003)

    • Clarified the need for a Borrower Prepared Business Summary when using 12 or

      24-months bank statements to qualify
  • SELECT PRIME
    • Increased $3.5m loans to 75% LTV with a 720+ FICO

    • Interest Only increased to 90% with a 660 score

    • Simplified cash out tiers

    • LTV >= 70% - max $500K cash out; LTV < 70% - $1m cash out
  • PRIME
    • Added a 580-619 FICO tier band

    • Interest Only increased to 90% with a 660 score

    • Simplified cash out tiers

    • LTV >= 70% - max $500K cash out; LTV < 70% - $1m cash out

  • EXPANDED CREDIT
    • Interest Only increased to 85% LTV with a 660 score

    • Simplified cash out tiers

    • LTV >= 70% - max $500K cash out; LTV < 70% - $1m cash out

  • DSCR
    • Increased maximum loan amount to $3.5m with a 700+ score and minimum 1.00 DSCR

    • Clarified that a credit refresh is not required prior to closing

    • Clarified that a credit inquiry explanation is not required

    • Clarified that if we’re using the 1007 to compute the DSCR, evidence of receipt

      of the rental income is not required.

    • Changed the number of months receipt of proof of rents received from 3 to 2

      months

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Jonathan Caguioa

NMLS# 250609 / DRE# 01137630 Mobile: 949-241-2527

ALLIANZ MORTGAGE NMLS# 346138 / DRE# 01403147

15820 Whittier Blvd, Suite G
Whittier, CA 90603

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