Capital Home Mortgage Midland

Midland Non Qualified Mortgage Loans

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Midland Non Qualified Mortgage Mortgage Lender

Midland Non-Qualified Mortgage

You might need help getting approved for a conventional mortgage loan if you have irregular income or are self-employed. To qualify for a traditional loan, most lenders require regular paychecks or proof of steady income, which is difficult to provide if you don’t have a traditional job.

For those who don’t bring in ordinary income and find conventional loans too tricky to obtain, Capital Home Mortgage can help you acquire the residential or investment property you desire with a non-qualified mortgage.

What is a Non-Qualified Mortgage?

A non-qualified mortgage (non-QM) is a type of mortgage intended to assist homebuyers who cannot satisfy the stringent requirements of a qualifying mortgage. You may need to look into non-qualified mortgages if you are self-employed or lack some of the required documentation for a conventional loan.

Considering the requirements for conventional, qualifying mortgages is the best way to make sense of non-qualifying mortgages. 

You must fulfill the following criteria to be eligible for a conventional mortgage:

  • Income: 

You must be able to demonstrate your income through pay stubs, W-2s, and tax returns.

  • Debt-to-income ratio: 

You must have a debt-to-income ratio (DTI) of no more than 43%. This portion of your monthly income is allocated to paying down debt.

  • No high-risk features: 

Interest-only loans, negative amortization, and balloon payments are all examples of potentially risky loan terms.

  • Loan term: 

The loan repayment term must be at most 30 years.

If you don’t or can’t meet all the criteria above, you may want to speak with a  Capital Home Mortgage loan officer and look into non-qualified mortgages.

Who Benefits from Non-Qualified Mortgage Loans?

If you cannot obtain a qualifying mortgage despite having sufficient income to make your mortgage payments on time and in full each month, a non-QM may be a good option.

Until you meet standard mortgage requirements and can refinance to a traditional loan, a non-qualified mortgage may offer a temporary lending solution.

The following types of borrowers could benefit from a non-QM loan:

  • Retirees
  • Self-employed individuals
  • Real estate investors
  • Business owners
  • Foreign nationals
  • Investors
  • Those who have high assets but low income
  • Those with a high debt-to-income ratio
  • Those with less-than-perfect credit

The existence of non-QMs demonstrates that a wide variety of potential homebuyers can access mortgage financing. Even if you have a low income or a high debt-to-income ratio, it is possible to get a mortgage.

Are Non-Qualified Mortgages Safe?

Knowing that non-QMs are not the same as subprime mortgages will ease your concerns about their safety. There is a misperception that non-QM loans are bad loans because of the housing meltdown during the Great Recession. Today’s non-QMs, however, have their own set of requirements, just like qualified mortgages. 

Apart from the loan documents, the lending process is similar. The “Ability to Repay Rule” applies to both types of loans. Lenders are vulnerable to legal action if they don’t take reasonable steps to verify a borrower’s ability to repay a loan. A nonQM mortgage is on par with any other type of loan.

Buy Your Dream Home Today!

Capital Home Mortgage provides homebuyers in Midland and countrywide with creative ways to finance their homes. 

If you don’t think you’d get approved for a conventional mortgage but still want to buy a home or refinance your current one, we can help. Our non-qualified mortgage products will help you achieve your real estate investment goals or purchase a house you can call your own. We’ll even take care of every loan process step for you.

Contact our professional loan officers at (432) 218-4828 for inquiries and more information about our mortgage loan offers and requirements.

Why Midland is Choosing Capital Home Mortgage...

Close On Time with True Approval

Control of the Loan from the Application to Funding.

Great Midland Rates

Direct Mortgage Lender Providing Competitive Rates and Low Fees.

Midland Customer Service

7  Day a Week Support from Application to Final Mortgage Payment. 

Midland Mortgage Rates

Capital Home Mortgage Midland is dedicated to offering Great Midland Mortgage Rates.

Call now to speak with a Loan Officer or request a no obligation custom rate quote.

Midland EZ A+ Loans

Non Qualified Mortgage Loans can be used to purchase primary, secondary, and investment properties.

Non QM loans differ from other types of mortgage loans by allowing for different sources of income to be used for qualifying. Non QM mortgages also allow for shorter waiting periods for bankruptcy, foreclosures and short sales and typically allows for unique properties like no warrantable condo’s or condo hotels.

Non Qualified Mortgage loans usually require less documentation than Conventional Home Loans, VA Home Loans, FHA Home Loans, or USDA Home Loans which makes for easier qualifying. Subsequently, Non Qualified Mortgage rates are higher due to limited documentation requirements. 

Non Qualified Mortgages are back by private investment and programs change frequently based on market demands. 

Examples of NON QM programs are Bank Statement Only,  Debt Service Coverage Loans, Foreign National Programs.

For more information on a specific area please contact one of our licensed loan officers. 

Midland EZ FLex+ Loans

  • Max loan amount $2.5M
  • Min FICO 580
  • Purchase and refinance allowed
  • Financing up to 90%
  • DTI allowable up to 50%
  • No Mortgage Insurance
  • Reduced waiting period for Bankruptcy, Foreclosure, Short Sale and Deed in Lieu
  • No Tax Returns for Self Employed Borrowers,
  • Qualify with only Bank Statements
  • Eligible Properties: 1–4-unit property, PUD,
  • Warrantable & Non-Warrantable Condo & Townhomes
  • Interest-only option available
  • All occupancy types allowed
  • Non-permanent resident eligible
  • No cash limit for cash-out
  • Min reserves 3 months
  • No second appraisal for loan amount up to $1.5M
  • DACA Borrowers allowed

Midland We Make It EZ Loans

No Tax Returns, W2s or Paystubs | Qualify with Three Months Business Bank Statement

  • 12 months CPA prepared P&L statement
  • Max loan amount: $1.5M
  • Min credit score: 680
  • Max LTV: 80% for primary and second home; 75% for investment property
  • Interest-only OK
  • NonWarrantable condo OK
  • First time homebuyer OK
  • For purchase transactions, 20% cash is required from the borrower (25% in case of investment property)

Midland Bank Statement Loans

  • 12 or 24 months Personal / Business Bank Statements
  • Max Loan Amount $3.5M
  • Min FICO 580
  • Max DTI 50%
  • Max LTV 90%
  • Only Self-employed Borrowers Eligible
  • All Occupancy Allowed
  • Purchase and Refinance Allowed
  • Interest-only Feature Available
  • Non-Warrantable Condo OK

Midland Salaried Borrowers Loans

  • Qualify with only written VOE
  • Max loan amount $3.0M
  • Min credit score 660
  • Max LTV 80%
  • Primary and second home OK
  • First time homebuyer OK
  • Non-warrantable condo OK
  • Interest-only OK

Midland Debt Service Coverage Loans

  • Loan amounts up to $3 million
  • Interest only option available
  • Maximum Loan-to-Value (LTV): Up to 80%
  • 1-4 unit property, PUD, Warrantable & Non-Warrantable Condo are eligible
  • No DTI requirement
  • No Mortgage Insurance
  • Minimum FICO score of 600
  • Maximum Cash Back: LTV ≥ 65%: $500,000 / LTV < 65%: $1,000,000
  • LLC, S-Corporation
  • Partnership eligible
  • DACA Borrowers allowed
  • Non-Warrantable condo property must meet specific eligibility criteria
  • Investment Property for Business
  • 24 month wait for: Bankruptcy, Foreclosure, Short Sale, Deed in Lieu
  • Manual Underwriting is only allowed
  • (DSCR) must be => 0.75 Debt Service Coverage Ratio – Income determined by subject property (Lease agreement, Form 1007)

Midland Foreign National Loans

  • Max loan amount $2M
  • Min FICO 680 or Foreign Credit
  • Purchase and Refinance allowed
  • Max LTV: 75% for 680+ FICO
  • 70% for Foreign Credit
  • Second Home and Investment Occupancy OK
  • Max DTI: 50% for Standard Income Documentation
  • 43% for Asset Utilization
  • Asset Depletion Option Available
  • Cash back up to $500,000 for Cash-out Refinance
  • Interest-only option available
  • No second appraisal for loan amount up to $1.5M
  • Cash-out permitted for Reserves
  • 36 months waiting period for Derogatory Credit Event

Midland ITIN Loans

  • Allowed for Primary Residence & Second Home
  • Purchase and Refinance option available
  • Primary Borrower can only qualify with an ITIN
  • Max LTV 80%*
  • Max DTI 50%
  • Max Loan Amount $1,000,000
  • Min Loan Amount $75,000
  • Min FICO: 620 (640 for Cash Out Refi) Credit report run under TransUnion
  • Only4 Years Waiting Period for Derogatory Credit Event
  • Minimum Tradeline: 2 open or active Tradeline with a minimum of 18 months history or 3 open or active tradelines with a minimum of 12 months history

Midland Texas Mortgage Team

Conor Hayhurst

NMLS 743506

Damon Embler

Sr Loan Officer
NMLS 882260

chris erwin

Sr Loan Officer
NMLS 914064

Dale Gremillion

NMLS 210325
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