Loan Programs
Explore our diverse range of Non-QM and Non-Prime mortgage solutions designed to fit your unique financial situation.
Frequently Asked Questions
Get answers to common questions about Non-QM loan programs.
A Non-QM (Non-Qualified Mortgage) loan is a mortgage that doesn't meet the Consumer Financial Protection Bureau's qualified mortgage standards. These loans offer flexible documentation requirements for borrowers who may not qualify for traditional mortgages, such as self-employed individuals, real estate investors, or those with non-traditional income sources.
Bank Statement loans are ideal for self-employed borrowers, business owners, freelancers, and contractors who have significant tax write-offs. You'll need 12-24 months of personal or business bank statements, a minimum credit score (typically 620+), and sufficient assets for down payment and reserves.
A DSCR (Debt Service Coverage Ratio) loan qualifies you based on the property's rental income rather than your personal income. The DSCR compares the property's expected rental income to the mortgage payment. A DSCR of 1.0 means the rent covers the mortgage; most lenders require 1.0-1.25 DSCR.
Asset Depletion allows you to qualify using your liquid assets (savings, investments, retirement accounts) instead of employment income. The lender divides your eligible assets by a set number of months (typically 60-84) to calculate a monthly income figure for qualification purposes.
Credit score requirements vary by program and lender. Bank Statement loans typically require 620-660+, DSCR loans often accept 620+, and Asset Depletion programs may require 680+. Higher credit scores generally result in better rates and terms.
Non-QM loans typically have slightly higher interest rates than conventional mortgages due to the increased flexibility and risk. However, rates vary significantly based on credit score, down payment, loan type, and lender. Many borrowers find the trade-off worthwhile for the flexible qualification requirements.
Yes! DSCR loans are specifically designed for investment properties. Bank Statement and Asset Depletion loans can also be used for investment properties in many cases. These programs are popular with real estate investors building rental portfolios.
Non-QM loans typically close in 21-45 days, similar to conventional mortgages. The timeline depends on documentation completeness, appraisal scheduling, and lender processing times. Having all required documents ready can help expedite the process.
Non-QM vs. Conventional vs. FHA
See exactly how Non-QM loans compare to conventional and FHA mortgages so you can choose the right program for your situation.
| Feature | Non-QM / Non-Prime | Conventional | FHA |
|---|---|---|---|
| Minimum Credit Score | 500–620 (program dependent) | 620–640 | 500–580 |
| Income Documentation | Bank statements, 1099, P&L, asset depletion | W-2 / tax returns required | W-2 / tax returns required |
| Self-Employed Friendly | Yes | Limited | Limited |
| No Tax Returns Required | Yes | No | No |
| Investment Property Eligible | Yes | Limited | No |
| Foreign National Eligible | Yes | No | No |
| Recent Bankruptcy / Foreclosure | Yes | No | Limited |
| Max Loan Amount | Up to $3M+ | Up to $766,550 (conforming) | Up to $472,030 |
| Minimum Down Payment | 10–20% | 3–5% | 3.5% |
| Debt-to-Income Ratio | Up to 55% (flexible) | 43–45% max | 43–50% max |
| Mortgage Insurance Required | No | Limited | Yes |
| Typical Closing Time | 21–30 days | 30–45 days | 30–60 days |
| Unlimited Financed Properties | Yes | No | No |
| Interest-Only Option | Yes | No | No |
Free: DSCR Investor Qualification Checklist
Download the exact checklist real estate investors use to qualify for DSCR loans — no personal income verification required.
Not Sure Which Program Fits?
Our team can help you find the right Non-QM solution based on your unique financial situation.