What is a Non-QM Loan?
Non-QM describes a mortgage that does not meet the applicable Qualified Mortgage criteria. TGBMC can help you review whether an available alternative program fits your documentation, budget and goals, and compare it with traditional options.
What Makes a Mortgage Non-QM?
Non-QM means the loan does not meet the applicable Qualified Mortgage criteria. It is not simply another name for a loan outside Fannie Mae or Freddie Mac guidelines. For covered consumer mortgages, lenders still must make a reasonable, good-faith determination of ability to repay.
Review the Documentation and Terms
Depending on the lender, an alternative program may evaluate income or assets differently. Ask which documents are accepted and how qualifying income is calculated. Alternative documentation is not the same as no documentation or automatic approval.
Compare Costs Carefully
Interest rates, fees, down payments, reserves and other terms vary. A Non-QM loan does not automatically offer lower rates or a smaller down payment. Review any adjustable-rate, interest-only, balloon or prepayment provisions if applicable to the offered program.
Ask Which Options Fit
Ask a TGBMC home loan advisor, call (469) 351-1081, or start your secure application.
An inquiry is not a loan approval or rate lock. Use the secure application process for financial documents.
Official resource: Learn more about this program.
Contact The Good Buy Mortgage Company today to learn if a Non-QM Loan is right for you!
