A borrower’s debt-to-income ratio, the amount of debt a person has in relationship to income, could pose a challenge for someone in need of mortgage financing. Our experienced loan officers at MortgageDepot have the solution with no-ratio mortgages. As a mortgage broker, we work with many lenders to offer our borrowers a selection of conventional mortgage programs and other types of loan programs, such as no-ratio mortgages, for individuals unable to provide income documentation.
Benefits of a no-ratio mortgage
When someone applies for a conventional mortgage, one of the criteria relied upon by the lender in deciding whether or not to grant the financing is the borrower’s debt-to-income ratio. Borrowers with higher debt-to-income ratios than allowed under a lender’s underwriting guidelines could have their request for a loan denied.
No-ratio mortgages are perfect for borrowers with good credit histories who lack the income documentation required under the underwriting guidelines for a conventional mortgage. Less documentation could mean less processing time for the mortgage and a quicker closing for borrowers in a rush to complete a transaction.
Features of our no-ratio mortgage
Unlike underwriting requirements for conventional loans that rely upon the information contained in tax returns, paystubs and W-2 forms, lenders offering no-ratio mortgages rely upon a borrower’s credit and overall financial profile. Self-employed borrowers find the relaxed documentation requirements of a no-ratio mortgage beneficial, but it could also prove to be convenient for a salaried borrower with additional income that cannot be readily documented.
Some of the features of a MortgageDepot no-ratio mortgage include the following:
- Loan-to-value ratio as high as 75%
- Loan approvals available without asset seasoning
- No tax returns or income verification
- Loans up to $2,500,000 or higher in some cases
- Loans available in all 50 states
- No restrictions on cash-out financing
- Simplified asset verification with only the earnest-money deposit check and one-month bank statement
- Interest-only terms available on investment properties
- Up to 100% of borrower funds may come from gifts
Our no-ratio loan program includes 30- and 15-year fixed-rate mortgages as well as 7/1 and 5/1 ARMs.
Contact MortgageDepot Today
We have experienced loan officers ready to answer questions and offer guidance to borrowers about our no-ratio mortgage loans.
*This product is not regulated by the New York State Department of Financial Services