Qualify More Self-Employed Borrowers

Newfi Wholesale Non-QM

Newfi continues to innovate for self-employed borrowers. With our Sequoia Portfolio Plus and Expanded programs you have two different options for calculating the net qualifying income from your borrowers business bank statements:

  1. Fixed Expense Ratio – This is the quickest and easiest calculation. Simply add up the total business deposits and apply a fixed expense ratio, based on the type and size of the borrowers business. The net figure, after the expense ratio is applied, will be used for qualifying income.
  2. Borrower Prepared P&L – Borrower provides an un-audited P&L covering the same time period as the bank statements being used to qualify. The gross income on the P&L should be supported by the business deposits. The net income on the P&L will be used for qualifying income.

Since Sequoia is Newfi’s own unique program, we make 100% of the credit decisions in-house, we never have to send the file for secondary investor review, and we’re often able to close these loans in 21 days or less.

Here are some more great highlights:

  • Make-sense underwriting with risk-based guideline exceptions
  • 40yr fixed rate with 10yr IO, 30yr fixed, and ARM terms available
  • 95% LTV to $1 million – 90% LTV to $1.5 million – 75% LTV to $2.5 million
  • Non-owner occupied up to 80% LTV to $1.5 million
  • Expanded DTI up to 55% for owner occupied purchases and R&T refi’s
  • 1 year tax return or W-2 documentation
  • 12 or 24 month personal bank statement qualification
  • Temporary rental income OK (Air Bnb, VRBO)
  • No title seasoning on cash out refi’s with reduced LTV
  • Non-warrantable condo’s considered
  • No minimum trade line requirement with 3 credit scores and reduced LTV
  • Only 3 years from foreclosure, BK, short sale or DIL with new Sequoia Expanded guidelines
  • More flexible Non Arms-Length guidelines