Non-Conventional
What Is a Nonconforming Mortgage?
A non-conventional (non-conforming, non-quality mortgage) loan is any mortgage that does not meet the guidelines of government-sponsored enterprises, such as Fannie Mae and Freddie Mac, therefore, cannot be sold to them. This includes FHA, VA, and USDA. In addition to conventional and government loans there is a wide variety of non-conventional loan programs available.Benefits of Non-Conforming Loans
- Lower down payment requirements
- Larger loan limits
- More property types.
- Lower Credit Scores
- Alternative Income Verification
Non-conventional loans are beneficial for
- Self-Employed Borrowers who show low -loss income on their tax returns.
- Borrower with past credit events such as bankruptcy and foreclosures, modifications, mortgage late payments.
- Investors needing to use Short- or Long-Term rental income to qualify. Investors who fix and flip homes for profit.
- Commercial Property financing.
