Guidelines Enhancements to Simple Access® Non-QM Products
Your eyes aren’t playing tricks on you.
We are excited to announce all the guidelines enhancements to our Simple Access® Non-QM products. Our enhancements show our continued commitment to being the leader in the Non-QM space. Here is a list of our guideline enhancements.
All Documentation Types:
- Removal of cash out limit up to 65% LTV
- Re-introduction of the 40 year term option, with a max LTV of 80% and allowed on all doc types other than ICF
- Increase max loan amount to $3.5MM on purchase/rate term and $2.5MM on Cash Out
- Increase max LTV to 90% with a FICO down to 660 (no, that is not a typo)
- Decrease min FICO to 620 for NOO properties
- Increase of max DTI up to 55% up to 70% LTV, 680 FICO, extra residual income or reserves
- Increase max LTV for use of CO proceeds as reserves to 75
- Increase loan amount where one appraisal needed to $2MM
- Removed the requirement for all owners of an entity holding title to be borrowers. >50% of the owners by ownership percentage must be on application based on a 6 month lookback
- Changed asset depletion term to 10 years (from 15)
- Removed requirement for increased uniform expense factor with LTVs >80%
- Added a Uniform Expense Factor option at 25% expense ratio
- Removed the “reserves for properties owned” portion of the calculation for method three
Investor Cash Flow
- Removed the minimum DSCR requirement for LTVs up to 70 with FICOs down to 700. Note that < 1.0 DSCR will now require an additional 6 months reserves.
- Removed the reserve requirement for other properties owned
- Added guideline to use actual rental income that exceeds market rent both for short and long term rentals on refinance transactions
- Removed requirement to verify receipt of rents, except when using actual rents that exceed market
- Changed IO payment qualification to qualify on a 30 year amortization for loans with an IO feature that do not qualify to use the IO payment to calculate the DSCR
- Expanded the eligibility criteria to utilize the IO payment to calculate the DSCR to max 70 LTV, min 680 FICO, and allow for cash-out transactions
And so much more! View our program descriptions for more guidelines enhancements.