Assets as Income
From time to time borrowers have significant assets, but don’t show enough income to qualify for a mortgage loan. Consequently Fannie Mae has made allowances for such situations and many lenders are now able to use a borrower’s money in the bank as an additional source of income.
This program can be used for purchases and rate and term refinances up to 80% loan to value as well as cash out refinance up to 60% loan to value.
This additional income calculation can be used on convention loans with an automated approval from Fannie Mae.
Occupancy must be owner occupied or second home for a single family, condo, or townhome.
To determine how much income can be used for your loan qualification, speak with one of our mortgage specialists today.