No Ratio Loans

No Ratio Loans - Information updated September 2008

No ratio mortgage loans in their original form (where no income was disclosed on the loan application) are no longer available. There are still a few varieties of stated income loans available and depending on your situation they may be worth looking into. The guidelines below no longer apply.

No ratio loans are actually "No Income Loans," since no income is actually disclosed on the loan application. No Ratio Loans are available for both "conforming" and JUMBO loan amounts. The income section of the application is left blank, but your employment and asset situation must be one that supports the ability to repay the mortgage and your credit must be impeccable.

No Ratio Loan minimum requirements:

700 middle FICO score
720 middle FICO score if newly self-employed or refinancing with cash out
Documentation of seasoned assets including down payment, cash to close and 10% of loan amount in cash reserves
Excellent credit and credit history
20% minimum down payment for a purchase
Secondary financing acceptable - cannot be held by seller or builder
Single family properties only
Second homes are eligible
Investment properties NOT eligible for financing
Maximum amount of cash out $500,000 ($200,000 for a second home)
Geographic restrictions: Loan not offered in CA, MD, NY, Dade County, FL, ME, AK, HI

No Ratio Loan maximum loan to value and loan amounts:

80% loan to value up to $650,000
75% loan to value up to $1,000,000
70% loan to value up to $1,500,000
65% loan to value up to $2,000,000

Declining Markets Policy

If the home you are looking to finance is in a "declining market" (where real estate values are declining or at risk to decline) then the above loan to values will be reduced depending on the level of risk in the local market.

Please contact us at 1-800-414-5285 for more information.