Linour Lending

Non-QM Mortgage Programs

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.

Who Uses Non-QM Loans

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.

Program Types

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-Employed

Income 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 Program

Debt 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-Based

Income 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
Understanding Non-QM

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
Common Questions

Non-QM Frequently Asked Questions

Are Non-QM loans only for people with bad credit?
No. Non-QM loans are primarily designed for borrowers with non-traditional income documentation — such as self-employed individuals, investors, and retirees. Many Non-QM borrowers have strong credit. The program type is about how income is documented, not solely about credit history.
Are Non-QM loans more expensive than conventional loans?
Generally, yes. Non-QM loans typically carry higher interest rates and may have higher fees than conventional programs because lenders take on more documentation flexibility. The actual rate depends on the program, loan amount, down payment, and borrower profile.
Can I refinance into a conventional loan later?
Yes, it is possible to refinance a Non-QM loan into a conventional program in the future if your circumstances change — for example, if you become a W-2 employee or if your tax return income profile changes. This is a strategy some borrowers plan ahead for. Speak with a licensed loan officer about your specific situation.
What is a DSCR loan and who needs it?
A DSCR (Debt Service Coverage Ratio) loan qualifies the borrower based on a property's rental income rather than personal income. It is primarily used by real estate investors who want to purchase or refinance rental properties without having to provide personal tax returns or employment documentation.
Talk to Our Team

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.

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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