When pricing in the portal, make sure to select the following:
Non-QM: Select Yes
Business Purpose Loan: Select Yes
Doc Type: Investor DSCR (when you select doc type investor DSCR, it will open the box for business purpose)
Prepay Period: 6 month minimum unless the state has PPP restrictions, default pricing comes out at 3 Years (6 months Min for all NanQ/NonQM – Investment loans)
Short Term Rental: Select Yes
Occupancy type: Investment
We view a Short-Term Rental (STR) as a property that will not be rented out by any individual for long term use.
Residences rented out monthly to yearly are considered long-term rental.
STR’s are usually rented by a rental management company or an individual on a nightly, weekly or Seasonal basis.
General No First-Time Investors
Declining market (value): Max LTV is 65%
Declining market (rent): Reduce the LTV to 65%; OR Achieve a Minimum 1.25 DSCR Ratio
Unleased / Vacant Property: A property where 1 or both of the following exist:
A lease or month to month rental agreement does not exist, and rent is being collected only on a verbal agreement, and/or
Home is vacant
Unleased / Vacant Property LTV/CLTV Restrictions Purchase Transaction: Program Max
Refinance Rate/Term Loan Balance ≤ $1,000,000 –70% LTV Max
Loan Balance ≤ $2,000,000 –65% LTV Max
Refinance Cash-Out Loan Balance ≤ $1,500,000 –60% LTV Max
Appraisal from LSM Preferred AMC only*
LOE for cause of vacancy
*Please contact your AE Account Executive for more details on program requirements and eligibility