These stated income mortgage programs have been a growth market for most mortgage lenders over the last decade as more and more people get on the path to self employment.
And up to this point, it hasn’t been all that difficult to get approved for financing at or near the best rates on the market, for similar terms and conditions that employed applicants get.
But that has now changed with the changes that have been seen among some of the major lenders in the market.
According to the lenders, the changes are all about managing their risk and to help curtain the impact on their portfolio as what some describe as sub prime lending, or close to sub prime lending.
The good news for the self employed is that there are still a number of options in the market, both with the main banks, secondary lenders, and credit unions. And the more you have to work with, the closer you can get to the better mortgage rates that are available in the market place.
For self employed individuals who are looking at putting the least amount down and have some challenges in supporting their annual cash flow, it could very well be that they are now going to be paying more for their mortgage financing.
This area of the market, with all the ongoing changes, and the variety of different product offerings, can benefit considerably from working with an experienced mortgage broker who can guide you through the ins and outs of what different lenders can potentially provide to you.
A good mortgage broker can also provide guidance as to you can strengthen your application so as to potentially get a better result from certain lenders. Mortgage brokers that work with the self employed maintain a strong working knowledge of the lending/funding criteria of market lenders and also maintain a strong sense of how flexible or inflexible any particular lender will be to a given situation or circumstance that may be hard to assess on your own.
If you are trying to secure a self employed mortgage, or stated income mortgage and want to make sure you are getting the best deal possible in the market at a given point in time, then we suggest that you give us a call so we can go through your requirements with you and provide mortgage financing options for your immediate consideration.