A Portfolio loan is a great option for well-qualified borrowers that do not meet traditional guidelines. Rates are slightly higher than with Conventional financing, so clients often stay in these loans for a couple of years then refinance into a Conventional loan. Some examples of those that would benefit from Portfolio loans are:
- Self-Employed less than 2 years
- Professional athlete on a rookie contract
- Equity in other property used as collateral for new purchase
- Borrower with a loss carry forward on their tax returns
- Condo investment property cash-out
- Recent short sale, foreclosure or bankruptcy
Primary Residence & Second Home Portfolio Loans:
- Minimum 10% down payment
- Minimum FICO (640 Experian)
- Loan sizes $100,00 to $3,000,000
- 30 Year Fixed Rate and no Pre-Payment Penalty
Investment Property Portfolio Loans:
- Minimum 25% down payment
- Minimum FICO (620 Experian)
- Loan sizes $100,000 to $2,000,000
- 20 Year Term with no Balloon and no Pre-Payment Penalty
- Title can be held in a Business or Individual name