The pre-approval process is much more complete than pre-qualification. For pre-qualification, the loan officer asks you a few questions and provides you with a pre-qualification letter. Pre-approval includes all the steps of a full approval, except for the appraisal and title search. Pre-approval can put you in a better negotiating position, much like a cash buyer.
Here is a scenario of one of our recently closed transactions. Borrowers refinanced their property, owned for 50 years, to take cash out in order to get out from under higher rate merchant financing and build a cash cushion to offset their business’ seasonal cash flow. MortgageDepot provided the perfect and less expensive financing necessary to provide peace of mind.
At MortgageDepot, we specialize in financing real estate that the banks cannot finance due to their strict guidelines, and we do it without charging the high rates a hard money lender would charge.
As the leading mortgage company in New York, we are always making sure that we stay in tune with all the latest mortgage programs so that every borrower has mortgage program that we can finance. We never stop working for the borrower, actually we don’t work for the bank we work for you. That’s why our motto is and we promote WeWorkForYouNotTheBank.com
- Fannie Mae Refi Plus Retained & Freddie Mac Relief Refinance up to 125% LTV ( loan to value) and unlimited CLTV (combined loan to value). For owner occupied and second home Transactions. LTV up to 105% for investment properties and high balance. Transferred mortgage insurance eligible with some MI company restrictions.
- MortgageDepot Jumbo. Allows for asset depletion. Loan amounts up to $2,500,000. Transferred appraisals allowed.
- FNMA ( Fannie Mae) High Balance. All occupancy type transactions (No cash-out refinance for Second Home and Investment Properties).
- Freddie Mac Super Conforming. All occupancy type transactions with higher LTVs than FNMA High Balance including Cash Out Non Owner Occupied. Blended Ratios allowed with Freddie Mac findings when using a non-occupant borrower for an owner-occupied purchase. 5/1, 7/1, and 10/1 ARMs available with delayed financing and transferred appraisals.
- FNMA Retained. Allows up to 10 financed properties and delayed financing options. Transferred appraisals allowed. Manual underwriting allowed for borrowers with erroneous credit.
- VA IRRRL. No appraisal required for Plaza or Wells Fargo serviced loans. LTV up to 125% with appraisal and LTV up to 105% with AVM ( appraisal).
- VA Jumbo. Loan amounts up to $1,500,000.
- FHA Streamline & FHA Streamline High Balance. No appraisal required. No income or ratio verification.
- HUD REO. $100 down payment allowed and/or REPAIR escrow up to $5,000 allowed on HUD REO approved sales contracts.
- FHA 203k Streamline. Finance repairs up to $35,000, including fees. NO structural repairs or improvements.
- USDA Rural Housing. Purchase, Rate & Term Refinance, Streamline Refinance, and Pilot Program Refinance.
- Agency Fixed & ARM. Community Seconds allowed. Blended ratios using LP findings only with a non-occupying co-buyer. Fixed and ARMs with delayed financing options, transferred appraisals, and more than 10 properties financed for 2nd home and NOO options.
- Reverse Mortgages – for those that are 62 years old and older have the opportunity to obtain financing without any income verification.
Minimum Credit Scores:
580: FHA Conforming Balance
620: Conventional = 80% LTV, VA Full Qualify, VA IRRRL, USDA, FHA High Balance purchase and rate/term, FHA Streamline
640: FHA 203(k) Streamline, FHA High Balance cash out
660: FHA High Balance cash out
620 – 740: VA Jumbo (depending on loan amount and product)
There are 3 major government agencies that control the mortgage industry and they are Fannie Mae, Freddie Mac and FHA. All 3 agencies give monies to the big banks such as Chase, Citibank, Wells Fargo and etc. Each agency has a set of guidelines that the Big Lenders needs to abide by. Below is just a few reasons why select Fannie Mae for our clients, although we do have a fantastic relationship with FHA for borrowers that fit their guidelines such as low down payment with credit scores as low as 500 and Fannie Mae has its guidelines….take a look.
- Higher loan limits in most states/counties
- Lower credit score required (620 for FNMA)
- No upfront MIP, (Mortgage Insurance Premium, like is required by FHA)
- More competitive MI ( mortgage insurance) rates are available
- Monthly MI (mortgage insurance) may be removed at a future date. FHA LTV > 90%, monthly MI is for the life of the loan.
- Single pay MI is available and may be paid by the seller to remove the payment from the QM calculation
- Less documentation required
- Appraisal cost is less
- Less follow up on property condition
- No borrower contribution required. 3% down payment may be a gift.
- No maximum DTI (debt to income).
Do any of the following scenarios sound like a borrower you may be??
- Self-employed but doesn’t show enough income to qualify with a traditional bank.
- Real estate investor who has too many mortgages to qualify with a traditional bank.
- Credit is just a bit too low to qualify with a traditional bank.
- Doesn’t want to pay the hard money rates and fees.
- Wants a quick close as opposed to the long drawn out process that most banks put them through.
If so, MortgageDepot could be the perfect place for YOU!!
Please see our general guidelines below and contact us with any questions or loan scenarios.
NO INCOME VERIFICATION LOANS!
- Investment SFR’s & Condos. Refi Only
- Investment and Owner Occ 2-4 Family Properties. Refi and Purchases OK
- Multi-Family, Mixed Use, Office, Retail, Warehouse, Self Storage, Auto Service
- Cash out, purchase, rate/term
- Up to 75% LTV depending on property type
- 650 Minimum Credit Score Required
- W-2 or self-employed
- Origination + Rebate OK (except for NJ 1-6 unit residential deals)
- Standard 30 Year Term (3 and 8-year arm options)
- $75k-$5M (up to $2M on 2-4 unit residential properties)
- Between traditional banks and hard money with our rates
- Serving Brokers since 2004
Contact us today for a FREE consultation at 800-535-0270