Griffin Funding - Non-QM Home Loans

Bank Statement Loans
Only a bank statement is required for this type of Non-QM loan. Borrowers can qualify with as little as two month’s bank statements however our most popular program is our 12-month bank statement loan. This loan is often a good solution for self-employed borrowers, business owners, realtors, consultants, and entrepreneurs.

Jumbo Loans with 10% Down
While traditional jumbo loans still often require 20% down, we offer near-miss jumbo loans up to $3 million with as little as 10% down, up to a 55% debt-to-income ratio, and credit scores as low as 660. Jumbo loans with 10% down are often the ideal solution for first-time buyers who might still have large student loans and other types of “good credit debt”. 10% down jumbo loans are also good for high-income earners who are looking to invest their cash in other assets.

No Income Investment Loans
Private and hard money loans often have high rates and take a while to get approved for, which is not ideal for most real estate investors. Alternatively, both new and experienced real estate investors can benefit from the expanded criteria offered by no-income investment loans which allow you to build your real estate portfolio with fewer setbacks. The Debt-Service-Coverage-Ratio loan uses the rental income of the property to qualify and does not take into account your personal income.

Asset-Based Loans
Asset-based loans allow you to leverage assets you already have, including checking and savings accounts, investment accounts, or money market accounts, to secure a loan. This type of Non-QM mortgage is ideal for individuals with substantial liquid assets available. Although asset-based loans are typically associated with high-interest rates, we have access to wholesale rates and favorable borrowing terms. Griffin Funding does not require you to pledge your assets.

Foreign National Loans (ITIN)
If you do not have a valid Social Security number, U.S. FICO score, or Individual Tax Identification Number (ITIN) you can still qualify for this type of Non-QM loan. To qualify, you will need to provide a VISA or VISA waiver as well as three active and open trade lines with a two-year history.

Interest-Only Home Loans
We offer interest-only home loans on 40-year fixed loans, 30-year fixed loans, 7/1 arms, and 5/1 arms. During the first 10 years of the loan, you will only pay the interest. This provides significant savings over the life of the loan. However, it’s important to keep in mind that you will not be paying down the principal balance during the interest-only period.

Recent Credit Event Loans
Recent credit events can make it challenging to secure a loan because many lenders view them as a red flag. However, we offer loan programs for borrowers with recent credit events including foreclosure, short sale, and bankruptcy. While we do offer options for as little as one day out from the credit event, loan terms typically improve the longer it has been, even in just a year or two.

Rental Property Loans
We offer a variety of loans specifically tailored to the needs of real estate investors who want to expand their portfolio to include single-family homes, 2 to 4 unit properties, condos, townhomes, multi-use, and multi-family 5 to 20 unit properties. Our loans are designed to make the process easier for buy-and-hold investors.

Who Should Consider a Non-QM Mortgage?

Purchasing property is already a complex and often drawn-out process. If you’re then ineligible for a traditional mortgage, the situation quickly becomes frustrating. However, QM loans are not your only option.

If you have been denied for a traditional QM loan, a Non-QM loan may be your next step. You might also want to consider a Non-QM loan if you have good reason to believe you will not qualify for a QM loan solely based on your credit, income, or other factors. For those who are still unsure whether this might be the right financing solution, let’s further break down the most common types of Non-QM loan borrowers.

Non-QM mortgages are typically recommended for:

• Self-employed individuals
• Real estate investors
• Retirees interested in purchasing a second home that will not be their primary residence
• Small to midsize business owners
• Borrowers looking for interest-only payments or more flexible DSCR requirements
• “Subprime” or “Non-Prime” borrowers who just barely miss the requirements for a QM loan and don’t want to postpone
• Those who have had a recent credit event (bankruptcy, short sale, or foreclosure)

Process for Securing a Non-QM Loan

Step 1: First, the loan officer will assess your situation and propose the loan options (and the rates) that are available for your circumstances.

Step 2: Complete the loan application over the phone or through our secure online platform.

Step 3: Lock in your rate over the phone based on the agreed-upon terms.

Step 4: We will send the initial application and disclosures which you will need to then review and e-sign.

Step 5: Return the requested documentation.

Step 6: Your paperwork will be submitted to underwriting.

Step 7: The appraisal of the property and a termite inspection (if applicable) need to be performed.

Step 8: Once the loan is approved, we will request any additional information to finalize the documentation.

Step 9: You will review your Closing Disclosure/settlement statement with your loan officer and then you can have it signed by a notary.

Step 10: Once everything is complete, your loan will be funded and you’re ready to move forward with purchasing or refinancing your property.