FLORIDA

SINCE 1995

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BANK STATEMENT

HOME LOANS

This is not a commitment to lend.  Not all borrowers will qualify for the loan programs listed.  All program terms and conditions are subject to change and may be discontinued without prior notice.  Contact loan originator for program questions and scenarios.  

At a Glance

Minimum Down Payment

10%

Minimum Down Payment to avoid PMI

N/A

PMI (Private Mortgage Insurance)

None

Minimum mid-credit score

580

Min/ Max Loan Amount

$100,000 - $2.5MM

Loan Repayment Terms

30 years

Amortization

30 Year Fixed Rate / 5/1 ARM /  7/1 ARM

Prepayment Penalties

None for Owner-Occupied Homes or Second Homes.  Investment properties -  6 months interest on 80% of the original principal balance

BANK STATEMENT HOME LOANS

The Business Owner's Secret Weapon.

Our bank statement loan program is designed around the needs of self-employed home buyers.  Business owners in the US have a unique advantage with the US tax code, allowing them to offset significant amounts of taxable income with deductions, which effectively reduces their tax burden.  While this has clear tax advantages to the business owner, a problem often comes into play when the business owner applies for a home loan and is denied due to a lack of income. This happens because lenders offering traditional loan programs (including Conventional, Jumbo/Non-Conforming, FHA, VA, USDA) require a standard analysis of 1-2 years of an applicant’s income tax returns (business and/or personal) and often end up only being able to utilize a fraction of the business owner’s true income needed to support a loan payment.  This situation often leaves the business owner frustrated and feeling trapped; and can result in delaying the purchase of their dream home while they plan out a multi-year tax strategy with their tax advisor.  

 

With our bank statement loan program, we have solved this problem. We allow self-employed business owners who have been in business for at least 24 months the ability to use the business deposit income in their bank statements as income. We pair this with the business profit & loss statement to establish a more accurate portrait of the applicant's true income profile.  

 

There are no prepayment penalties for owner occupied and second homes, so the loan can be refinanced if desired, as soon as the applicant qualifies for a traditional home loan.  Many of our clients use this program to buy their dream home and decide to refinance it into a traditional loan once they and their tax advisers determine is the optimal time.  It allows the business owner to take control and buy a home on their terms.

 

Some lenders may offer this type of program, but few of them can match our experience and success rate, making us the trusted professionals you need to make this program work for you.

 

Call us today at (813) 928-9610 for more information or apply today.

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3 easy steps.  No cost/obligation

GET PRE-APPROVED TODAY

3 easy steps.  No cost/obligation

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(813) 928-9610

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KEY FEATURES

 

Minimum Down Payment: 10% Minimum

 

Middle-Credit Score: minimum 580 or higher credit score restriction to Loan-to-Value (LTV):

  • Min mid-credit score of 680+ to qualify for 90% LTV  / Any prior housing events (Bankruptcy, Short Sale, Foreclosure must be at least 24 months from settlement)
  • Min mid-credit score of 620+ to qualify for 85% LTV  / Any prior housing events (Bankruptcy, Short Sale, Foreclosure must be at least 12 months from settlement)
  • Min mid-credit score of 580+ to qualify for 80% LTV  / Any prior housing events (Bankruptcy, Short Sale, Foreclosure must be at least 12 months from settlement)
  • Min mid-credit score of 580+ to qualify for 70% LTV  / Any prior housing events (Bankruptcy, Short Sale, Foreclosure - No waiting period required)

 

Minimum Waiting Periods for Prior Housing/ Financial Events:

  • Bankruptcy  (Chapter 7 or 11 or 13) – Must be discharged (Restrictions to Loan-to-Value (LTV) may apply depending on the length of time from the date of discharge to the closing date of the new loan– consult your loan originator)
  • Foreclosure/ Short Sale /  Deed-in-Lieu of Foreclosure – Event must be settled (Restrictions to Loan-to-Value (LTV) may apply depending on the length of time from the settlement date to the closing date of the new loan– consult your loan originator)

 

Occupancy Types - Owner-Occupied/ Second Home/ Investment

 

Property Types: SFR, Townhome, Condo, 2-4 Unit

 

Income qualification:  Most recent 24 months of Bank Statements  (Most recent 12 bank statement review is also available with a maximum LTV of 85%). Supporting borrower-prepared P&L (Profit & Loss Statement).

 

Reserves: 6 months after closing (12 may be required in certain scenarios – consult your loan originator)

 

Residual income requirements:  ($1,500 - $2,500) + $150 for each dependent in the household

 

Pre-Payment Penalties: None for Owner Occupied and Second Homes.   Prepayment only applies to Investment properties, and is equal to 6 months interest on 80% of the original principal balance Terms – 30 year amortization.  

 

Available terms: 30 Year Fixed | 5/1 ARM | 7/1 ARM

 

Loan Amount Min/Max - $100,000 - $2.5MM

 

Escrow Account Impounds for Property Taxes and Homeowners Insurance and Flood Insurance (if the home is in a mandatory flood zone): required

 

Seller Concessions: Borrowers can receive up to 9% towards non-recurring closing costs for Primary and Second Homes, depending on the LTV ratio of the new loan. The concessions cannot be used for down payment.

  • 9% towards closing for Primary and Second Homes (LTV ≤ 75%)
  • 6% towards closing for Primary and Second Homes (LTV > 75%)
  • Investment properties - Up to 2% toward closing for Investment Properties

Self-Employed?
We have even more reasons to say YES.

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DOCUMENT CHECKLIST
(Bank Statement Loans)

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