Ask our mortgage assistant

Related answers

• Self-Employed / Non-QM

  Can I get a mortgage if I'm self-employed?

  Yes. Most self-employed borrowers qualify with a conventional loan using about two years of tax returns. If write-offs make your taxable income look too low, a Non-QM loan can use your bank statements, 1099s, or a rental property's income instead. The Mortgage Advisory is the direct lender on both conventional and Non-QM loans, so we can look at your business the way it really works.

• Self-Employed / Non-QM

  What documents do self-employed borrowers need, and how is my income calculated?

  For a regular loan, you'll usually need two years of personal (and business) tax returns, a year-to-date profit and loss, and bank statements. Your income is your net business income plus certain non-cash add-backs like depreciation, averaged over two years. The Mortgage Advisory reviews your returns before you apply, and if they don't show your real income, we can look at bank statement options instead.

• HELOC & Equity

  What credit score and debt-to-income ratio do I need for a HELOC?

  Requirements vary by program, but many HELOCs look for a credit score in the mid-600s or higher, a debt-to-income ratio under roughly 45% to 50%, and total mortgage debt at or below about 80% of your home's value. Better credit gets better pricing. The Mortgage Advisory will tell you honestly where you stand, and which program fits, before anyone does a hard credit pull.

• Debt Consolidation

  I'm a homeowner with credit card debt. What are my options to pay it off?

  As a homeowner, you have more options than most people: balance transfer cards, a personal loan, a debt management plan, and your home equity through a HELOC, home equity loan, cash-out refinance, or, if you're 62 or older, a reverse mortgage. At The Mortgage Advisory, we steer people toward the option that lowers their Life Rate, the blended rate on everything they owe, and their total cost.

• Debt Consolidation

  Can I use my home equity to consolidate debt if I have bad credit or a high debt-to-income ratio?

  Often, yes. Paying off your cards at closing removes those payments from your debt-to-income, which can be the very thing that helps you qualify. Depending on your score and age, an FHA cash-out refinance, a Non-QM loan, or a reverse mortgage option may work when a standard HELOC doesn't. The Mortgage Advisory will tell you honestly which path fits, and when to wait and rebuild first.