Denver I Q

Each week The Berkshire Group Realtors invite various mortgage loan officers to tell us about a loan programs that might work for our clients purchasing homes in the Denver Metropolitan area.

So, here goes for the program of the week (which I happen to think is pretty cool). It’s actually for someone who wishes to state their income, but not have it verified. The income must seem reasonable for the type of work and at least one borrower on the application must be self employed and have been in the same line of work for 2 years. Assets are also stated, and must include at least 2 months reserves after the transaction is finalized.

What’s so great about this loan I hear the hoards screaming. Well, if you have a FICO score over 720 there is NO add on to the rate. In other words, you get the same or best interest rate as if you were fully documenting all your income and assets! Not bad eh! We can go as low as 680 for a FICO score but then you will find the interest rate approximately .125% to .25% higher.

So, who would this work for? Most borrowers who are self employed write off a great deal of their income if they can. Some self employed borrowers actually show a sufficient earnings on the bottom line, but we may not be able to use the income for a variety of reasons, so a reduced document loan would be perfect.

If you have an investor who wants to buy a 1 unit property (no duplexes/4 plexes etc) and is going to put 25% down, this might be a great program for them. Primary residences and second homes can have as little as 10% down.

Rusty and Frances are both Certified Mortgage Planning Specialists. This means that we have gone through extensive training and taken a rigorous test which was designed to raise mortgage industry standards of practice, ethics and professionalism. What is the benefit of this to you? Well apart from the obvious of a higher level of ethics, it means that we have a greater knowledge of the financial markets and their workings, of basic financial planning with mortgages and can help customers reach their financial goals with better debt management. But the real benefit to you is that by using us you and your clients will reach the closing table knowing that there will be no surprises.

CTX Mortgage Company is the financial division of Centex Homes. We do not service any of our loans, so consequently we are in a great position to continue business uninterrupted. We also have the ability not only to use our own programs, but to broker out to other companies. So we can give our clients a multitude of options.