Section 5: NON-QM on a Jumbo Loans
NON-QM Jumbo Loans
A non-qualified mortgage — or non-QM — is a home loan that is not required to meet agency-standard documentation requirements as outlined by the Consumer Financial Protection Bureau (CFPB). Non-QM loans may encapsulate a wide variety of mortgages, including Home loans exceeding 30-year terms and loans that are higher than the conforming loan limit. By definition, a jumbo loan is not a qualified mortgage under the Consumer Financial Protection Bureau (CFPB) rules.
NON-QM Jumbo Loan Requirements
While service requirements remain the same, NON-QM jumbo loan credit and income requirements are typically more stringent compared to a conforming NON-QM jumbo loan. Additionally, FHA high balance rates may differ slightly -- but every lender is different.
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NON-QM Jumbo Loan Credit/ Down Payment Score Requirements
Non-QM and alternative financing loan programs are becoming to be the most popular mortgage program in the nation.This is why down payments typically look like but can very between lenders.
10% to 30% down payment is required on NON-QM loans.
- 10% down payment on home purchase on 680 credit scores.
- 15% down payment on 660 credit score.
- 20% down payment on under 660 credit scores.
Talk with an Orbit Home Loan specialist if you're considering a NON-QM Jumbo Loan.
NON-QM Jumbo Loans v. Traditional Jumbos
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Talk with an Orbit Home Loan specialist if you're considering a Jumbo Loan.