|
You
can get a loan after a divorce
Very
often is the case the reason many clients buy or sell a home
is due to a divorce. The most common scenario I am asked to
help with is when the wife, who hasn’t worked in many years,
wants to buy a home with the proceeds from the sale. Many
times agents are under the belief because she doesn’t work
and will only be receiving child support and alimony she
won’t qualify.
We have a program for this very situation. It’s called NINA.
No Income, No Asset verification. Nothing is verified. All
that is written on the application is name, address and
social security number. Nothing else, thereby assuring
qualification.
Let’s assume the wife has excellent credit (740), is netting
$300,000 and wants to only use $225,000 of it for the
purchase and needs to keep her payments closer to where
rents are. Based upon a sales price of $625,000 and $225,000
down payment her new loan would be $400,000. If she were to
take a 5 year interest only loan today’s rate would be 6.50%
with 1 point (seller can pay). The mortgage payment would be
$2,166 per month.
As you can see by this example excellent credit and a large
down payment makes this a very attractive financing option.
The maximum loan amount is $1,000,000 and the minimum credit
score is 680. The lower the loan to value and the higher the
credit score the lower the interest rate.
|
