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Maywood Mortgage FAQ
Maywood buyers face unique financing challenges that cookie-cutter lenders miss. We've answered the most common mortgage questions we hear from borrowers in this tight-knit LA County community.
These FAQs come from real deals we've closed here. Whether you're self-employed, buying an investment property, or navigating ITIN financing, these answers cut through the noise.
SRK CAPITAL works with 200+ wholesale lenders to find loan programs that actually fit Maywood borrowers. The right financing structure makes the difference between approval and rejection.
Most purchase loans close in 21-30 days with all documents submitted upfront. Delays happen when appraisals get backlogged or income documentation requires extra review.
FHA loans start at 580, conventional at 620. Self-employed borrowers using bank statement loans can qualify with 600-640 depending on compensating factors.
Yes, ITIN loans work for borrowers without Social Security numbers. Expect 15-25% down and rates about 0.5-1% higher than conventional programs.
FHA requires 3.5% down, conventional loans allow 3% for first-timers. Some community mortgage programs offer even lower down payments with income limits.
Yes on conventional loans until you hit 20% equity. FHA charges both upfront and monthly mortgage insurance for the life of the loan on most terms.
W-2 borrowers need two years tax returns, recent pay stubs, two months bank statements. Self-employed borrowers need 12-24 months business bank statements or two years profit and loss statements.
No, rates reflect your credit profile and loan type, not your zip code. Rates vary by borrower profile and market conditions across all LA County locations.
Absolutely. Bank statement loans use 12-24 months of deposits instead of tax returns, working well for 1099 contractors and business owners.
FHA allows lower credit scores and smaller down payments but charges mandatory mortgage insurance. Conventional loans offer better rates for strong credit but require higher scores.
Get pre-approved. Pre-qualification is a guess based on what you tell a lender, pre-approval verifies income and credit with actual documentation.
Yes, most loan programs allow gifted down payments from family members. You'll need a gift letter stating the funds don't require repayment.
Expect 2-5% of the purchase price for lender fees, title, escrow, and prepaid items. Exact costs depend on loan type and property price.
No, USDA loans only work in designated rural areas. Maywood sits inside the LA metro area and doesn't meet USDA geographic requirements.
Yes, FHA finances 2-4 unit properties if you occupy one unit. You can use projected rental income to help qualify for the mortgage.
DSCR loans qualify investors based on rental income, not personal income. They work for buyers with multiple properties or W-2 income that doesn't support another mortgage.
Most lenders cap total debt at 43-50% of gross monthly income. Self-employed borrowers using bank statements should calculate on verified deposits, not gross revenue.
Yes, eligible veterans can use VA loans with zero down payment. There's no PMI and credit requirements are more flexible than conventional programs.
Jumbo loans exceed conforming limits, currently $806,500 in LA County for single-family homes. They require stronger credit and larger down payments than conforming loans.
Late payments in the past 12 months hurt but don't automatically disqualify you. Some programs allow recent lates with strong compensating factors and explanations.
Brokers shop your scenario across 200+ lenders to find the best rate and program fit. Banks only offer their own products, limiting your options.
Most purchase loans require full appraisals. Some refinances qualify for desktop appraisals or property inspection waivers with strong loan-to-value ratios.
No, rate locks require a purchase agreement with a property address. You can get quoted rates, but locks only happen once you're in contract.
Bank statement loans use 12-24 months of business or personal deposits to verify income. They're built for self-employed borrowers who write off most income.
ARMs offer lower initial rates that adjust after a fixed period, typically 5, 7, or 10 years. They make sense if you plan to move or refinance before adjustment.
Conventional investment loans require 15-25% down depending on property type and credit. DSCR loans often want 20-25% for single-family rentals.
Hard money funds in days based on property value, not borrower credit. Rates run 8-12% for short-term use before refinancing to conventional financing.
They work for investors maximizing cash flow or high-income borrowers expecting bonuses to pay down principal. Monthly payments are lower but equity builds slower.
Yes, most programs allow 75% of projected rent if you're buying a multi-unit and occupying one unit. Investment properties use actual lease agreements or market rents.
These loans qualify borrowers using investment accounts divided by the loan term. Retirees with significant assets but low reported income use them frequently.
Bridge loans let you buy before selling your current home, using existing equity for the down payment. They're short-term and expensive, typically 6-12 months.
Yes, foreign national loans work for non-US citizens buying investment or vacation properties. Expect 30-40% down and slightly higher rates than conventional programs.
Only if you're keeping the loan long enough to recoup the upfront cost through lower payments. Most borrowers break even after 3-5 years depending on points paid.
You can renegotiate the price, bring extra cash to cover the gap, or walk away if you have an appraisal contingency. Lenders base loan amounts on the lower of price or appraised value.
Yes, some community mortgage programs offer down payment assistance and reduced fees for income-qualified buyers. Availability changes based on funding and local partnerships.
Yes, construction loans fund in draws as work completes, converting to permanent financing after completion. They require detailed builder contracts and 20-25% down typically.
FHA requires two years from discharge, conventional loans need four years. Some portfolio lenders consider borrowers sooner with strong compensating factors and explanations.
These loans use CPA-prepared P&L statements instead of full tax returns. They work for established self-employed borrowers who can document business income through financial statements.
Yes, lenders require proof of insurance before funding. You'll need coverage effective on closing day with the lender listed as mortgagee on the policy.
Most loans allow refinancing after six months of payments. Cash-out refinances typically require 6-12 months of ownership depending on the loan program and equity position.
Community mortgages target lower-income borrowers with flexible underwriting and reduced fees. Income limits and other restrictions apply based on household size and location.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.