Stewart Brown Jr – Mortgage Loan Originator – Purchase or Refinance
|
When applying for a mortgage, the lender usually requires the borrower to meet certain criteria to qualify for the loan. One requirement is the debt-to-income (DTI) ratio – the amount of debt you owe concerning your income – which should be no more than 43 percent for most lenders.
This requirement makes it difficult for borrowers with a lot of debt and unstable income to qualify for the mortgage due to their high DTI. What if we told you there’s a solution with no-ratio mortgages? That’s right! No-ratio mortgage loans don’t have stringent requirements like traditional mortgages. A no-ratio mortgage is a type of home loan product in which the debt-to-income ratio isn’t a limiting factor. That is, the lender doesn’t require the borrower to disclose their debts or income. The lender doesn’t rely on this information to approve a loan. Instead, they focus on your overall credit history, assets, and down payment size. Therefore, no debt-to-income ratios are calculated in this type of loan. Such loans are perfect for people who do not want to disclose their debts or income, or those who have significant debts. The no-ratio mortgage can be beneficial to most people at various stages of real estate investment:
That said, expect to pay higher interest rates for no-ratio mortgages. Since you’ll be providing limited information about your income, the loan carries a higher risk of default. |
|
When applying for a mortgage, the lender usually requires the borrower to meet certain criteria to qualify for the loan. One requirement is the debt-to-income (DTI) ratio – the amount of debt you owe concerning your income – which should be no more than 43 percent for most lenders.
This requirement makes it difficult for borrowers with a lot of debt and unstable income to qualify for the mortgage due to their high DTI. What if we told you there’s a solution with no-ratio mortgages? That’s right! No-ratio mortgage loans don’t have stringent requirements like traditional mortgages. A no-ratio mortgage is a type of home loan product in which the debt-to-income ratio isn’t a limiting factor. That is, the lender doesn’t require the borrower to disclose their debts or income. The lender doesn’t rely on this information to approve a loan. Instead, they focus on your overall credit history, assets, and down payment size. Therefore, no debt-to-income ratios are calculated in this type of loan. Such loans are perfect for people who do not want to disclose their debts or income, or those who have significant debts. The no-ratio mortgage can be beneficial to most people at various stages of real estate investment:
That said, expect to pay higher interest rates for no-ratio mortgages. Since you’ll be providing limited information about your income, the loan carries a higher risk of default. |
Reach out to me for further detailed information on No Ratio loan programs.