Jumbo

Guidelines

All loans must be underwritten by the Fannie Mae desktop underwriter system or the Freddie Mac Loan prospector advisor and receive an Approve/Eligible (Fannie Mae) or a Accept/Eligible (Freddie Mac)
– Purchase | Rate and Term refinance | No cash-out refinance eligible
– Minimum Credit score of 660

Salaried | Hourly Borrowers
– Two-year employment history must be documented via the two most recent tax returns
– Previous two years W-2s
– Recent paystubs to illustrate earnings for the previous 30 days

Self-Employed Borrower
– Business must have been in existence for at least two years
– Personal signed individual tax returns as well as the corporate or partnership tax returns for the two most recent tax periods

Properties Listed for Sale
– Primary residence only |Limited Cash-Out | Cash-Out Refinance loans
– The subject property must be taken off the market on or before the loan closing date and the borrower must confirm their intent to occupy the subject property

Multiple financed properties
– Primary residence loan- No limits to the number of financed properties
– 2nd Home | Investment property- maximum 10 financed properties 

Student Loans
– Underwriting may use the payment on a current credit report or a recent statement for qualifying purposes– Otherwise 0.5% of the outstanding loan balance reported on the credit report will be calculated to determine the monthly obligation

Qualifying Ratios
– Current guidelines refer to the Fannie Mae or Freddie Mac automated underwriting response
– Traditional guidelines are capped between 45-50% maximum debt to income

Maximum Cash-out
– Primary $500,000 | Secondary $400,000 | Investment $400,000

Rental Income
– Will be determined by the supplemental income/loss reported on the respective Schedule E from the two previous tax periods. 

Reserves
– Based upon the Fannie Mae or Freddie Mac automated underwriting response – Typical reserves is 0-6 months for Owner occupied, 6 months for 2nd Home and Investment

Appraisal
All loans will require a traditional Fannie Mae form 1073 | Freddie Mac form 465 appraisal report, unless the automated underwriting indicates that a valuation documentation will not be required with what is commonly know as an appraisal waiver or property inspection waiver

Purchase | Rate and Term Refinance
Number of UnitsLoan AmountCredit Score FixedCredit Score ARMLoan to ValueOccupancy
1$1,000,00068072090%Primary Residence
1$2,000,00068072090%Primary Residence
1$2,000,00066070080%Primary Residence
1$2,500,00072072080%Primary Residence
1$3,000,00074074085%Primary Residence
2$2,000,00068072085%Primary Residence
2$2,000,00066070075%Primary Residence
2$2,500,00072072075%Primary Residence
2$3,000,00074074075%Primary Residence
3-4$2,000,000680NA85%Primary Residence
3-4$2,000,000660NA75%Primary Residence
3-4$2,500,000720NA75%Primary Residence
3-4$3,000,000740NA75%Primary Residence
Cash-Out Refinance
Number of UnitsLoan AmountCredit Score FixedCredit Score ARMLoan to ValueOccupancy
1$1,000,00068070080%Primary Residence
1$2,000,00068070080%Primary Residence
1$3,000,00074074080%Primary Residence
Purchase | Rate and Term Refinance
Number of UnitsLoan AmountCredit Score FixedCredit Score ARMLoan to ValueOccupancy
1$2,000,00068074090%Second Home
1$2,000,00066070090%Second Home
1$2,500,00072072080%Second Home
1$3,000,00074074080%Second Home
Cash-Out Refinance
Number of UnitsLoan AmountCredit Score FixedCredit Score ARMLoan to ValueOccupancy
1$2,000,00070070075%Second Home
1$3,000,000740NA75%Second Home
Purchase | Rate and Term Refinance
Number of UnitsLoan AmountCredit Score FixedCredit Score ARMLoan to ValueOccupancy
1$1,000,00068072080%Investment Property
1$2,000,000660NA70%Investment Property
1$2,500,000720NA75%Investment Property
Cash-Out Refinance
Number of Units Loan Amount Credit Score Fixed Credit Score ARM Loan to Value Occupancy
1 $1,000,000 680 720 75% Investment Property
1 $2,000,000 660 NA 75% Investment Property
1 $2,000,000 680 NA 70% Investment Property