Category: Mortgage 101

Are Stated Income Loans Still Available?

Looking for a stated income loan to finance a home purchase? Although they still exist, they’re harder to find in the post-recession market. And for those who do find them, there may be a better alternative.

What are Stated Income Loans?

For hopeful home buyers who may have difficulty qualifying for a traditional mortgage, stated income loans were once a hot commodity. With stated income loans, mortgage lenders did not use traditional methods to verify the borrower’s income. Rather than checking out the borrower’s tax returns, W-2s or other financial documents, the lender simply asked the borrower to state their income and the lender essentially took them at their word. Continue reading Are Stated Income Loans Still Available?

Gearing Up for Spring Home Buying Season

The spring home buying season is just around the corner–are you prepared?

Hopeful home buyers this spring will have some advantages as well as some challenges, depending on their location. Inventory seems to be getting better in many of the nation’s major housing markets, but competition is still pretty high. Demand continues to outpace supply, driving prices higher in many markets. In order for buyers to position themselves favorably, taking the steps to be well prepared is crucial.

Continue reading Gearing Up for Spring Home Buying Season

How to Use Investor Cash Flow Loans to Build Your Real Estate Portfolio

suburban apartment neighborhood

Have your goals set on establishing a real estate portfolio? This might be your year! Interest rates are staying low, rental prices are on the rise and home equity growth continues to climb. But deciding to buy a rental property isn’t something to take lightly. There are a lot of factors to consider, and finding the right financing plan is a big one. Continue reading How to Use Investor Cash Flow Loans to Build Your Real Estate Portfolio

What are Non-QM Loans?

In the mortgage world, there are qualified mortgages and non-qualified mortgages. While qualified mortgages meet specific lender and borrower standards set forth by federal regulations, non-qualified, aka non-QM loans have greater flexibility and can be a great financial tool for certain borrowers.

Non-QM Loans

A non-QM loan is any mortgage that does not meet the standards set by the government via the Dodd-Frank regulation. The Dodd-Frank Wall Street Reform and Consumer Protection Act is a piece of financial reform legislation that was passed under the Obama administration in 2010 as a response to the 2008 financial crisis. In 2018, certain parts of the legislation were rolled back.  Continue reading What are Non-QM Loans?

Getting a Loan for a Rental Property

Beach House

At Luxury Mortgage, we strive to offer a variety of home financing opportunities to suit today’s real estate investors. If you’re looking for a loan for the purchase of a rental property, we invite to explore our offerings, from full documentation loans to bank statement loans and more.

Full Doc Mortgages for Rental Properties

Full documentation, or “full doc,” loans are a common type of mortgage that uses a borrower’s complete financial picture to determine qualification. All income and assets are accounted for and a credit check is performed. Specific requirements can vary by loan product and by lender, but most will require a minimum credit score, employment verification, and a limit to the number of financed properties. Continue reading Getting a Loan for a Rental Property