90 LTV Jumbo Loans With No Private Mortgage Insurance
In this blog, we will cover and discuss 90 LTV jumbo loans with no private mortgage insurance. Home prices are skyrocketing like never before and many people are getting priced out of the housing market due to needing jumbo loans. Real estate prices have been increasing since 2010. Despite mortgage rates being the highest since 2010, home prices have been increasing with no signs of any correction. The Federal Reserve Board is planning on increasing rates again. There seems to be a shortage of home inventory versus demand nationwide. The maximum loan limit for FHA is $420,680.
What Are Jumbo Loans?
Mortgage loans on one to four-unit residential homes that surpass the maximum Fannie Mae and Freddie Mac Conforming Loan Limit are called jumbo loans. Jumbo mortgages are also called non-conforming loans because they do not conform to Fannie /Freddie agency guidelines.
Conventional loan limits are capped at $647,200 unless the properties are in a high-cost area. High balance in high-cost counties has a ceiling cap at $970.800 on single-family homes. VA loans no longer have a maximum ceiling loan limit.
What Is The Difference Between Conforming vs Jumbo Loans
Due to rising home prices both HUD and FHFA have increased loan limits every year for the past several years. Many qualified home buyers were hindered from buying homes due to home prices exceeding government and conforming loan limits and falling into non-conforming/Jumbo Loan Limit territory. Any loans over $647,200 are considered Jumbo Mortgages.
Do Jumbo Loans Require a Higher Down Payment Requirement?
90 LTV Jumbo Loans Is Now Available For Home Buyers
NON-QM 90% Loan Product for both traditional and non-QM mortgage programs is available. An amazing new NON-QM loan product has been added to our long list of loan products available at Non-QM Mortgage Lenders We are excited to roll out 90 LTV Jumbo Loans. It is a NON-QM mortgage loan program.
The 90 LTV Jumbo loans will be a game-changer for many clients. This holds true, especially for homebuyers in need of Jumbo Mortgages. It is tricky to get a Jumbo loan with 10% down these days. 10% down payment is UNHEARD OF. In this blog, we will explore the qualifications of the NEW 10% down payment NON-QM loan with NO MORTGAGE INSURANCE.
Buyers Benefiting From 90 LTV Jumbo Loans With No Mortgage Insurance
Who is the 90% LTV NON-QM mortgage designed for?
- Higher-priced homebuyers who do not want to put all their cash down for a down payment
- Borrowers who are 4 years out of a Foreclosure, Deed-in-Lieu, or Short Sale
- Borrowers looking to purchase over FHA loan limits
What are the basic requirements for the 90% LTV product?
- Must have a 720 or higher credit score
- Only available for ONE Unit Primary Residences
Full Income Documentation:
- NOT a bank statement loan
Cannot have late payments on housing:
- Cannot be 30 days late on housing payments in the last 12 months
- MUST HAVE 12 months of reserves (total mortgage payment, PITIA)
Reserves do not need to be cash:
- Can be 401k and/or investment accounts
Max DTI = 35%/40%:
- Loan amounts $130,000 – $1,500,000
- Note: Not available for rate and term refinancing
No PMI 90 LTV Jumbo Loans
One of the best features of this loan product is you are not required to carry mortgage insurance. Mortgage insurance is great for many loan products when not putting down 20% but can be a pain to cancel. With this NON-QM loan product, homeowners will not need to worry about canceling their private mortgage insurance premium and you’re not putting down 20%. Meaning you will not need to go through the troubles of canceling your Mortgage Insurance once you get your loan down to 80% LTV or carry it throughout the life of the loan like some FHA loans.
90 LTV Jumbo Loans NO PMI Underwriting Guidelines
90 LTV Jumbo Loans With No PMI Eligibility and Underwriting Requirements:
Primary wage earners’ credit scores will be used if the co-borrower has lower than 720 credit scores:
- Must be above 720
Must show no late payments on housing payments in the past 12 months:
- RENT FREE NOT ALLOWED
Must have 3 or more tradelines reporting for 12 months or longer:
- or 2 tradelines reporting for 24 months or longer AND have activity within the past 12 months
Closing in 30 days or less.
No-Doc Non-QM Jumbo Loans
There are two major classes of jumbo loans. Traditional full-doc jumbo loans which require full income documentation is the standard jumbo loan program. Non-QM jumbo loans are alternative types of jumbo mortgage loan options. There are several types of non-QM jumbo loans. Most non-QM jumbo loan programs do not require income documentation.
Homebuyers with any questions about the new 5% Down Payment JUMBO Mortgage, contact us at Non-QM Mortgage Lenders at 262-716-8151 or text for a faster response. Or email us at Non-QM Mortgage Lenders at gcho@gustancho.com. Remember this new Mortgage product ranges from $130,000 to $1,500,000 making it a great JUMBO mortgage opportunity. We are experts in NON-QM and alternative financing and can help home buyers get into the house you and your family have been dreaming of! We are a full-service lender and we do not have ANY LENDER OVERLAYS so we can service most clients. The Team at Non-QM Mortgage Lenders is available 7 days a week, evenings, weekends, and holidays.
