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Finally, the day has arrived that will change the GAME for purchasing an owner-occupied 2 to 4 unit with 5% down. The product is LIVE today and we are ready to help fund your purchase and refinance needs. Below are the basic guidelines and what you need to know about this new product.

What questions do you have? Set up a call.

The Simpson Team can close purchase deals in 15 days or less on the program, CALL for details!

  • Min credit score 620.
  • Purchase and rate/term refinance. NO CASH OUT refinances.
  • Conforming loan limits ONLY.
  • MAX loan amounts- 2 units $929,850 – 3 units $1,123,900 – 4 units $1,396,800.
  • NO high balance or manual underwriting.
  • Must get automated approval with Fannie Mae (AUS).
  • Reserves 6 months PITI.
  • A down payment can be gifted.
  • Use 75% of current or market rents to help offset payment (market rents can only be used if the property is vacant or current renters have the notice to move prior to closing.)
  • Guidelines are standard to those of Fannie Mae.
  • MAX DTI 49% with AUS approval.
  • Full DOC only ( can do 1-year tax return for Self-employed if AUS approval.)
  • You do NOT need to be a first-time home buyer.
  • You can have a co-signer.

What questions do you have? Set up a call.

Example purchase scenario:

Purchase price:  $1.4MM, 4 units, 740 credit, owner occupied, 6 months PITI reserves

20% down:

No points – loan amount $1,120,00, rate 7.99%, payment PITI $9,968.

1 point – loan amount $1,120,00, rate 7.49%, payment PITI $9,589.

5% down:

No points – loan amount $1,330,000, rate 7.875%, payment PITI $12,410

1 point – loan amount $1,330,000, rate 7.375%, payment PITI $11,953

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