Side-by-side comparison

Agency:  Fannie Mae and Freddie Mac

Income

50% max debt-to-income ratio

Standardized document requirements

No flexibility

Credit History

Restrictive requirements

640 FICO = minimum

740 FICO = best pricing

Loan Types

Fixed Rate 10-15-20-25-30 years

Fixed/ARMS 5-7-10 years/30 yr term

95% Loan-to-Value

Summary

Best pricing on all programs

No exceptions to Guidelines allowed

Individuals or Family Trust vesting

Jumbo

Income

43% max debt-to-income ratio

Standardized document requirements

No flexibility

Credit History

Very restrictive requirements

700 FICO = minimum

760 FICO = best pricing

Loan Types

Fixed Rate 15-30 years

Fixed/ARMS 5-7-10 years/30 yr term

90% Loan-to-Value

Summary

Excellent pricing on all programs

No exceptions to Guidelines allowed

Individuals or Family Trust vesting

Portfolio Plus:

Income

48% max debt-to-income ratio

Flexible document requirements with multiple qualifying options

Credit History

Flexible requirements

680 FICO = minimum

760 FICO = best pricing

Loan Types

5-7-10 year Fixed/Arm Combos

30 year fixed

80% Loan-to-Value

Summary

Very good pricing on all programs

Exceptions to Guidelines allowed

 

GOAL: transition to Agency or Jumbo

Non-Agency:  Common Sense Lending

Income

50% max debt-to-income ratio

Flexibility to use multiple income options including:

  • bank statement qualifying

  • asset qualifying

  • investment property cash flow

Credit History

Very flexible guidelines

i.e. 1 day out of bankruptcy

As credit improves, pricing improves

620 FICO = minimum

760 FICO = best pricing

Loan Types

Fixed Rate 30 years

5-7 year Fixed + 23-25 year ARM

90% Loan-to-Value

Summary

Common sense underwriting

Competitive common sense pricing

Exceptions to Guidelines allowed

Individuals, Family Trust, LLC vesting

GOAL:  transition to PORTFOLIO

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26741 Portola Parkway Suite 1E

Foothill Ranch CA 92610

NMLS 1171059

(949) 888-5232