Mortgage Loan Programs
We offer most loans: Conventional, FHA, VA, USDA, Investor, Construction, Commercial, Profit and loss, Bank Statement, iTIN, and Mobile / Manufacture Home Loans.
Conventional Loan
Mortgages not guaranteed or insured by government agencies are conventional home loans. Conventional loans are held and backed by the mortgage lender.
Conventional Mortgage Benefits
2022 Conforming Loan Limits California is $647,200
No up-front private mortgage insurance (PMI).
Flexible guidelines on the homes condition
PMI payments cancel when the LTV reaches 78%
NO PMI with a down payment of 20%
Mortgage insurance is less expensive (0.51% vs 0.85% with FHA)
Disadvantages of Conventional
Reserve funds are often required
620 credit score requirement (higher than FHA)
Large down-payment 10.01%-20% (Unless you qualify for a Conventional 97 loan which requires a 3% down payment)
FHA Loan
The FHA Loan Program Was Created to Help Increase Home Ownership.
The Federal Housing Administration (FHA) is a United Sates Government Agency Created by the National Housing Act of 1934.
The “FHA” provides mortgage insurance on loans made by FHA-approved lenders. The FHA insures mortgages on single family and multifamily homes including manufactured homes and hospitals.
FHA mortgage insurance provides lenders with protection against losses from homeowners defaulting on their loans.
The lenders bear less risk because FHA will pay a claim to the lender in the event of a homeowner's default.
Loans must meet certain requirements established by FHA to qualify for insurance.
Benefits of the FHA Loan Program
These benefits of the FHA loan program have made it one of the best options for most first-time home buyers.
The 2022 loan limits for one-unit properties will be $647,200
Minimal Down Payment and Closing Costs
100% Financing options available
Gift for down payment and closing costs allowed
No reserves or required
FHA regulated closing costs
Seller can credit up to 6% of sales price towards buyers costs
Easier Credit Qualifying Guidelines
Debt-to-income (DTI) ratio expanded with cosigner
FHA loans are also more widely available for borrowers who have either filed for bankruptcy or foreclosure. On a conventional loan, seven years must pass before you will be eligible for refinancing. But with FHA loans, only three years need to pass. If a borrower has filed for bankruptcy, at least four years must pass before applying for a conventional loan. Under FHA, only two years are required.
Mobile / Manufactured Home Loans
Chattel - In-Park and Private Property
Land Home Programs
Cash-Out 65% - 80% of Appraisal.
iTIN must show iTIN on taxes and w-2
Bank statement (Orange & Riverside County) LA County pending 2024
Co-Signer with 20% down and both on title. 20-year term.
Any age or size home.
VA Loan
(VA) Veterans Affairs Loans are Guaranteed by the United States Department of Veterans Affairs
The basic intention of the VA home loan program is to supply home financing to eligible Veterans, service members, and surviving spouses with no down payment.
VA Loan Requirements
In order to qualify for the VA loan program, the homebuyer must have served
90 consecutive days of service during wartime
181 days of service during peacetime
Spent more than 6 years in the National Guard or Reserves.
If the homebuyer is a spouse of a service member who died in the line of duty or as a result of a service-related disability, then the spouse can also qualify. The homebuyer must still meet standard income to debt ratio guidelines and satisfactory credit to qualify.
VA Loan Benefits
0% Down payment
No Private Mortgage Insurance
Competitive Interest Rates
No loan limits, however there is a limit on the amount of money you may borrow based on income, or the amount the program will guarantee for the loan
Lower closing costs
Easier to qualify because the loan is backed by the government
VA Loan Disadvantages
The VA requires several forms in order to prove eligibility, which can be time consuming, but many qualified lenders will assist you with the process
The VA charges a funding fee (a percentage of the home price) to cover VA operating expenses and guarantee the loan. The fee could push the loan past the fair market value of the home
VA loans can take slightly longer to close than conventional or FHA
The VA has very strict guidelines for home appraisals
Adjustable-Rate Mortgage
An Adjustable-Rate Mortgage (ARM) Loan Comes with an Interest Rate That Can Change Periodically
Some ARM loans can come with a really low interest rate, so they may have lower monthly payments, but the lender passes some of their risk of these loans onto the borrower. The Lender can adjust your interest rate over time with changing market rates.
Adjustable Rate Loan Requirements
Like conventional loans, having a good credit score is essential. All lenders will review your debt to income ratio and credit score.
Adjustable Rate Loan Benefits
It can be easier to qualify for an ARM since the borrow assumes some of the risk usually held by the lender
Lower monthly payments and interest rates
Interest rate might decrease over time if the market decreases
You might qualify for a larger loan amount
You can opt for flexible payments options
Adjustable Rate Loan Disadvantages
After your fixed-rate period ends, the interest rate can move up or down based on the index it is tied to. This can cause your monthly payment to increase outside of your budgeted monthly amount
Buyers may purchase more house than they can afford
With an unknown payment amount, your monthly budget planning becomes difficult
Non-Traditional Loans
DSCR (Debt Service Coverage Ratio) based on rental income-no tax return required
Profit & Loss Statement Loans – No bank statement required. 1- & 2-year Loans. Loans amount up to $3 million.
12/24 Months Bank Statement Loans.
Non -QM (Qualified Mortgage)
Self-Employed
ITIN (No Social Security Number)
Jumbo Loans with 10% down
Asset-Based Loans
Foreign National