The unconventional mortgage or non conventional loan is making a comeback, allowing borrowers with undocumented income streams to achieve their dreams of homeownership. While there are many benefits brought around by this trend, it’s also important to consider the potential risks before determining if this method is the right fit for you. A non conventional loan provides alternatives for those who don’t meet the standard income documentation requirements.
Using Home Equity for Cash
“I have equity but need to quickly free up some cash”
Often borrowers have significant equity in their property, but just need a loan fast. We have dozens of institutional and private lenders set up to fund a non conventional loan quickly…typically in 21 - 30 days. Best of all, the approval is based on equity in the property and not credit and income – so it’s a hassle-free loan process. These loans work for residential, commercial and apartment buildings beyond $10MM too so it’s a popular option for developers and corporations that have properties listed on the market and are ready to get going on the next project.
Self Employed
“I write off a lot of my revenue on my taxes”
Many borrowers have very healthy businesses grossing millions of dollars per year in sales, but when it comes to reporting taxable income on their personal income tax return, that income is often very low or a negative amount – because of all the write offs. We have creative non conventional loan programs that allow us to get these deals done quickly. Ask us for details!
VOE Mortgage
“I’ve been denied for other types of loans”
With a VOE Mortgage, W-2’s, pay stubs or tax returns are not required. VOE or Verification of Employment, is a type of mortgage program where all the verification is handled directly with the employer. If you’re a salaried worker or a wage earner, this program could work for you as an alternate type of financing. In addition, there are flexible loan terms with a VOE Mortgage. You can choose from a 30-year fixed loan, or a 7/1 ARM adjustable rate mortgage (with the interest paid during the fixed period). Plus, because no tax returns or pay stubs are required, all you need to show is income or have your employer verify your employment for the last two years.
- Minimum FICO of 620 and a down payment of 3.5% of purchase price is needed.
- Must be your primary residence, no investment properties.
- 100 gift funds are allowed for down payment, closing costs or reserves.
- The employer must have an internet presence with current information from a 3rd party site such as Google, manta.com or yellowpages.com.