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Non-QM Program Underwriting Enhancements

September 13, 2021rashtonBulletin

Overview

Carrington Mortgage Services, LLC (CMS) is pleased to announce the following guideline enhancements for the Non-QM loan programs (Prime Advantage, Flexible Advantage Plus and Investor Advantage). These changes are effective September 13, 2021.

Prime Advantage Program

The Prime Advantage program has the following enhancements:

  • Increased Maximum Loan Amount to $3,500,000
  • Increased Maximum Cash-Out from $500,000 to $750,000
  • Escrow Waivers are now permitted when the Borrower’s FICO > 700 and < 80% LTV
  • Increased Loan Amount tier from $2,000,001–$2,500,000 to $2,000,001–$3,000,000
  • Added new loan amount tier from $3,000,001–$3,500,000 with LTVs shown in the table below:
Program Maximum LTVs Primary Residence & Second Homes
Full Doc Alt Doc
Loan Amount Reserves FICO Purchase & R/T Cash Out Purchase & R/T Cash Out
$3,000,001
up to
$3,500,000
12 Months 720+ 75% 65% 75% 65%
700 70% 60% 70% 60%

Investor Advantage

The Investor Advantage program has the following enhancements:

  • Increased Maximum Loan Amount to $2,000,000
  • Increased Maximum Cash-Out from $500,000 to $750,000

Flexible Advantage Plus Program

The Flexible Advantage Plus program has the following enhancement:

  • Escrow Waivers are now permitted when the Borrower’s FICO > 700 and < 80% LTV

Contacts

Please contact your Account Executive or Account Manager with any questions.

Carrington thanks you for your business.