Placeholder for Calculator
Non-QM - Debt Service Coverage Ratio (DSCR) Mortgage
Who is MBANC’s Non-QM – DSCR Mortgage best suited for?
Unlike most mortgage programs, MBANC’s DSCR mortgage program allows you to qualify using the rental income derived from the income property
- Investors seeking to purchase or refinance an investment property, WITHOUT providing tax returns or bank statements to qualify
- Qualify using assessed rental income
How Do The Non-QM – DSCR Mortgage Works?
These mortgages are portfolio loans that are not connected to any government agency. Approvals are primarily focused on the property cash flow.
Mortgage Program Highlights for Non-QM – DSCR Loan
- Mortgage amounts up to $3 million for purchases
- Up to $2 million for cash-out refinances
- Maximum loan to value (LTV) is 75% on purchase transactions and 70% for cash-out refinances
- Property can fit into 3 different debt service buckets:
- Debt service greater than or equal to 1.15
- Debt service greater than or equal to 1.10 – 1.14
- Negative debt service
- Must be able to demonstrate a 12-month history of ownership and management of rental properties. Commercial properties are acceptable if there is a majority ownership positions
- Minimum credit score of 680
- No DTI required
- Minimum of 6 months reserves required**
- Purchase transactions or refinance rate and term or cash out
- Investment properties only are eligible for this program
- Single family homes, condominiums, and 2-4 unit homes are all eligible for financing
- Non-warrantable condo financing available on a case-by-case basis
- Gift funds eligible, borrower must have at least 5% of their own money in the transaction
- Interest only available
- 5/7/10 year ARM – available
- 30- and 15-year fixed – available
- Minimum mortgage amount is $300,000
Mortgage amounts vary based on LTV, Credit, and overall creditworthiness*
More reserves will be required for mortgage amounts over $1,000,000.00**
More reserves will be required for mortgage amounts over $1,000,000.00**
