Why Choose Everest Funding as Your Non-QM Lenders?
WHERE WE LEND
Everest Funding specializes in Non-QM mortgage loans in:
Everest Non-QM programs:
Foreign National Loans
Interest Only Loans
Recent Credit Event Loans
Commercial Business Purpose Loans
Ready to Get Started? Contact Us Today!
At Everest Funding, we are committed to providing self-employed individuals and real estate investors with the financing solutions they need to achieve wealth.
Frequently asked Questions
A non-QM loan is a type of home loan that allows you to qualify through unconventional methods. This type of mortgage is ideal for those who don’t earn income conventionally, such as self-employed individuals, retirees, freelancers and, real estate investors. Instead of verifying your income through pay stubs and tax forms, your income is verified in other ways. Common types of non-QM mortgages are bank statement loans, DSCR loans, and asset-based loans.
- Individuals with recent credit events
- Real estate investors
- Business owners
- Borrowers looking for interest-only loans
The process of securing a non-qualified mortgage is similar to getting a qualified mortgage. It’s important to note that the first thing you should do when you’re considering buying a home is apply for a pre-approval so that you know how much you’ll be able to afford. Here are the main steps that you would take after finding a non-QM mortgage lender.
- Submit an application: Your application is the first step for determining whether or not you qualify for a loan.
- Provide any additional documentation: We’ll ask you for additional documentation, such as bank statements, to determine your eligibility.
- Lock in your rate: Once we’ve determined that you are eligible for a loan, you’ll have the chance to lock in your rate.
- Loan approval: After you’ve locked in your rate, we can approve the loan.
- Inspections and appraisal: You’ll need to get the home appraised and complete inspections before you can close.
- Final signing and loan funding: Once you sign the final documentation, your funds will be released shortly and you can make your purchase.
Not everyone can qualify for a non-QM mortgage because there are still requirements to be met. While the methods we use to verify your income and ability to repay differ from traditional mortgage loans, we still require that all of our borrowers prove to us that they can repay the loan. This may include having a certain credit score, income verification, and more. However, the good news is that non-QM loans are much easier to qualify for than conventional loans.
The four types of Qualified Mortgages are:
- General QM: General QM loans cannot have loan terms that exceed 30 years and may not have certain features such as interest-only or negative amortization. General QM loans require that a borrower’s monthly DTI ratio does not exceed 43%, unless they are FHA, VA, or USDA loans.
- Temporary QM Loans: Temporary QM loans meet all of the same requirements as General QM loans. However, these loans are not subject to the 43% maximum DTI Ratio.
- Small Creditor QM Loans: These QM loans are made by small creditors and are held in their portfolios. Organizations are considered small when they have less than $2 billion in assets. These loans have the same requirements as General QM loans, but there is no specified DTI limit.
- Balloon-Payment QM: Falling under a small creditor umbrella, the balloon-payment QM loan can be originated if an organization meets the asset size and limitation requirements.
Not sure which non-QM mortgage option is right for you? Contact us today to learn about the various loan programs we offer that can help non-traditional borrowers get into their first, second, or third home.