Financing Options Beyond Conventional Criteria
Non-QM (Non-Qualified Mortgage) loans are programs that do not meet the standard documentation or qualification guidelines of conventional lending. We work with lenders who offer these programs for borrowers with unique financial situations.
Borrowers with Non-Traditional Situations
Non-QM loans are designed for borrowers whose financial profiles fall outside standard program criteria. Common scenarios include self-employment, investment properties, and unique income structures.
Self-Employed Borrowers
Those who are self-employed may have income that is documented differently than W-2 employees. Bank statement programs and other Non-QM options may be available to document income from business activities.
Real Estate Investors
Investors purchasing rental properties or building portfolios may benefit from programs like DSCR loans, which qualify based on property cash flow rather than personal income documentation.
Retired Borrowers Using Asset Income
Retirees or those with significant assets who no longer have traditional employment income may be able to use asset depletion or asset qualifier programs to document their ability to repay.
Foreign National Borrowers
Non-U.S. citizens or foreign nationals who do not have a U.S. credit history may have access to Non-QM programs designed for their unique documentation circumstances.
Common Non-QM Programs
Non-QM lending encompasses a wide range of programs. The following are some of the more common types available through our lender network.
Bank Statement Loans
Self-EmployedIncome is documented using 12 to 24 months of personal or business bank statements rather than tax returns. Good for borrowers with business deductions that reduce taxable income on paper.
- No tax return requirement
- 12 or 24 month bank statement options
- Primary, second home, and investment
DSCR Loans
Investor ProgramDebt Service Coverage Ratio (DSCR) loans qualify based on the property's rental income relative to its mortgage payment — not the borrower's personal income. Designed for investment property purchases.
- No personal income documentation
- Qualifies on rental income
- Fixed and ARM options available
Asset Qualifier / Depletion
Asset-BasedIncome is calculated based on liquid assets by dividing eligible assets over a set loan term. Useful for retirees or those with significant savings but limited ongoing income.
- Based on verifiable liquid assets
- No employment or income required
- Lender-specific asset requirements apply
How Non-QM Differs from Conventional
Conventional qualified mortgages (QM) must meet guidelines established under the Ability to Repay (ATR) rule, which sets specific criteria for how income is calculated, documented, and verified.
Non-QM loans use alternative methods to document and verify a borrower's ability to repay. They do not follow the same standardized criteria but still require the lender to make a good-faith ATR assessment.
Non-QM loans typically carry different pricing, rates, and lender requirements compared to conventional programs. A licensed officer will walk you through the trade-offs specific to your situation.
| Feature | Conventional QM | Non-QM |
|---|---|---|
| Income Doc | W-2 / Tax Return | Bank Stmt / Assets / DSCR |
| Debt Ratio | Standard DTI limits | Varies by program |
| Loan Limits | Conforming limits apply | Often higher limits |
| Property Types | Primary / 2nd / Invest. | Broader eligibility |
| Rate | Standard market | Typically higher |
| Who It Fits | Traditional borrowers | Complex income situations |
Non-QM Frequently Asked Questions
Discuss Non-QM Programs for Your Situation
Submit an inquiry and a licensed loan officer will reach out to review your situation and walk you through the Non-QM programs available through our lender network.
Type of HOme Loans
Non-QM and Private Money Purchase Loans
Explore Investment Opportunities with Linour Lending
Whether you’re a seasoned investor or taking the first steps in the state’s property market, Linour Lending’s array of Non-QM and Private Money Purchase Loans is tailored to elevate your investment strategy. Our specialized financial solutions are designed with the unique investment landscape in mind, offering flexible terms and innovative lending options to propel your portfolio forward. Discover the benefits and opportunities that await with Linour Lending — where your investment aspirations become achievable realities.
Private Money Loans
- Quick Financing: Private money loans offer rapid funding, allowing you to seize time-sensitive investment opportunities.
- Flexible Terms: Tailor loan terms to align with your investment strategy and financial goals.
- Unique Properties: Access funding for non-traditional properties that may not qualify for conventional loans.
Fix & Flip/Hold Loans
- Revitalize Properties: Secure financing to renovate and flip properties for profit or hold them as long-term investments.
- Customized Solutions: Linour Lending offers loan options tailored to your specific project and investment strategy.
- Experience Matters: Leverage our expertise in real estate financing to maximize your returns.
Investment Loans
- Expand Your Portfolio: Use investment loans to diversify your real estate holdings and increase wealth potential.
- Competitive Rates: Linour Lending provides competitive interest rates to maximize your return on investment.
- Expert Guidance: Our team assists in structuring investment loans for optimal financial outcomes.
Bridge Loans
- Seamless Transitions: Bridge loans smooth property transitions, ideal for buying a new property before selling your current one.
- Short-Term Solution: Linour Lending offers short-term bridge loans with flexible repayment options.
- Quick Approvals: Expedited approval processes help you secure opportunities in competitive markets.
Commercial Loans
- Grow Your Business: Obtain financing for commercial real estate ventures, whether it’s expanding your business or investing in income-generating properties.
- Custom Financing: Linour Lending tailors commercial loans to match your business objectives and property type.
- Leverage Opportunities: Access funding for commercial properties in prime locations with favorable terms.
Select your preferred mortgage option, and our certified loan specialist will reach out to you.
At Linour Lending, we’re dedicated to empowering your investment journey. Our experienced team understands the intricacies of real estate financing, ensuring you make informed decisions for your investments. Whether you’re interested in private money loans, fix & flip/hold loans, investment loans, bridge loans, or commercial loans, we’re here to help you unlock your full investment potential.
Ready to invest in your Future Dream home?
Ready to explore these investment opportunities with Linour Lending? Contact us today, and let’s make your investment aspirations a reality. Your financial future starts here.
A Non-QM (Non-Qualified Mortgage) Loan is a type of mortgage that doesn’t meet the strict consumer protection criteria of a Qualified Mortgage (QM). It offers flexibility in the loan approval process, often considering alternative documentation for income verification.
Eligibility for a Non-QM loan varies but is generally aimed at borrowers who don’t fit traditional lending criteria. This includes self-employed individuals, those with non-traditional income sources, or those with higher debt-to-income ratios.
The benefits of a Non-QM loan include greater flexibility with income verification, the potential for higher loan amounts, and more lenient credit score requirements. They can offer solutions for those who may not qualify for conventional loans, providing a path to homeownership for a wider range of borrowers.
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