Non QM Programs
What does DSCR stand for?
Debt Service Coverage Ratio
What is the earliest an appraisal can be ordered?
Once disclosures are signed
Name one AUS Systems used for Conventional Loans?
DU or LPA
What document confirms the property’s value for lending purposes?
Appraisal
Borrower wants a better rate. What type of refinance is this?
Rate/Term
What are the two types of eligible bank statements
Personal or Business
If a loan is approved what document is sent out?
Conditional Approval
Minimum down payment for Conventional Loans
3%
Which final settlement document discloses the exact fees, cash to close, and loan details?
CD or Closing Disclosure
What does “escrow” typically include?
Taxes and Insurance
What is AD minimum DSCR ratio
no minimum or 0
Borrower must wait how many days to close after acknowledging the CD
3 days
What is MI and when is it required?
Mortgage Insurance, >80% LTV
Which document outlines the terms of repayment including interest rate and payment schedule?
Loan Note
What is the term for a fee charged to reduce the interest rate on a loan?
Discount Points
What does PPP stand for?
Prepayment Penalty
Which Underwriter reviews the appraisal, title and insurance
UW 1
What type of properties can you finance?
Primary Second Home and Invmt
What appraisal document verifies rental income?
1007
What is a WVOE and who fills it out?
Written verification of Employment, Employer
At least 3 CPA Letter requirements
Date, Signature, License number, attest to have reviewed taxes or financial audit, confirm self employment
The documents required for submission- Purchase
1.2.3.4.5.
1003
ID
Credit
Income Docs
Purchase Contract
What is the minimum FICO
No Min FICO
What document shows the property's legal description and ownership history?
Title commitment or title report
Explain seasoning of funds
The required amount of time the borrower must have funds in an account before they can be used