Question 1

What is a NON-QM loan and who is it for?

Accepted Answer

A NON-QM loan is a mortgage that uses alternative documentation instead of traditional tax returns to verify income. It's designed for self-employed borrowers, real estate investors, gig workers, and anyone whose tax returns don't reflect their true earning power.

Question 2

How is NS Funding different from a bank?

Accepted Answer

NS Funding is a mortgage broker with access to 150+ wholesale lenders, not a single bank with one set of rules. We shop your loan across multiple lenders to find the best rate and terms for your specific situation.

Question 3

What states does NS Funding serve?

Accepted Answer

NS Funding is licensed in 19 states including Arizona, California, Colorado, Florida, Georgia, New Jersey, New York, Texas, and Washington. Call us to confirm we're licensed in your state.

Question 4

Is NS Funding a legitimate company?

Accepted Answer

Yes, NS Funding is a licensed mortgage broker (NMLS #139369) with 30+ years of combined experience. We're regulated by state and federal agencies and maintain full compliance with lending laws.

Question 5

What is a bank statement loan?

Accepted Answer

A bank statement loan qualifies you using 12-24 months of bank deposits instead of tax returns. Lenders calculate your income by averaging your deposits, making it ideal for self-employed borrowers who write off business expenses.

Question 6

What is a DSCR loan for investment properties?

Accepted Answer

A DSCR (Debt Service Coverage Ratio) loan qualifies you based on the property's rental income, not your personal income. If the rent covers the mortgage payment, you can qualify—even if you have no W-2 job.

Question 7

Can I get a mortgage without showing tax returns?

Accepted Answer

Yes, several NON-QM programs don't require tax returns. Bank statement loans use deposits, DSCR loans use rental income, and asset depletion loans use your savings. We'll match you with the right program.

Question 8

What loan programs are available for self-employed borrowers?

Accepted Answer

Self-employed borrowers can use bank statement loans (12-24 months), P&L statement loans (CPA-prepared), 1099 income loans, or asset depletion loans. Each program has different requirements to maximize your qualifying income.

Question 9

What credit score do I need for a NON-QM loan?

Accepted Answer

Most NON-QM programs require a minimum 620 credit score, though some accept scores as low as 500. Higher credit scores get better rates. We work with lenders across the credit spectrum.

Question 10

How much down payment do I need?

Accepted Answer

Down payment requirements range from 10% to 25% depending on the loan program, property type, and credit score. Investment properties typically require 20-25% down, while primary residences may qualify with 10-15%.

Question 11

Can I get a mortgage with a recent bankruptcy or foreclosure?

Accepted Answer

Yes, some NON-QM programs accept borrowers 1-2 years after bankruptcy or foreclosure, compared to 4-7 years for conventional loans. You'll need a larger down payment and may pay a higher rate.

Question 12

Do I need to verify my income to get a mortgage?

Accepted Answer

Yes, all legitimate mortgages require income verification. However, NON-QM loans accept alternative documentation like bank statements, rental income, or assets instead of traditional W-2s and tax returns.

Question 13

How long does it take to close a NON-QM loan?

Accepted Answer

Most NON-QM loans close in 21-30 days from application to funding. Complex files may take longer. Having your documents ready upfront helps us close faster.

Question 14

What documents do I need to apply?

Accepted Answer

Required documents depend on your loan program. Bank statement loans need 12-24 months of statements. DSCR loans need a lease agreement. All programs require ID, credit authorization, and property information.

Question 15

Does applying affect my credit score?

Accepted Answer

Our initial pre-qualification uses a soft credit pull that doesn't affect your score. A hard credit inquiry only happens when you formally apply, and it typically impacts your score by less than 5 points.

Question 16

Can I get pre-approved before finding a property?

Accepted Answer

Yes, we provide pre-approval letters within 24-48 hours that show sellers you're a qualified buyer. Pre-approval locks in your rate and gives you a competitive edge in hot markets.

Question 17

Are NON-QM loan rates higher than conventional mortgages?

Accepted Answer

NON-QM rates are typically 0.5% to 2% higher than conventional rates because they serve borrowers who don't fit traditional guidelines. The exact rate depends on your credit score, down payment, and loan program.

Question 18

What are the closing costs for a NON-QM loan?

Accepted Answer

Closing costs typically range from 2% to 5% of the loan amount, similar to conventional mortgages. This includes appraisal, title insurance, origination fees, and prepaid items like taxes and insurance.

Question 19

Is there a prepayment penalty on NON-QM loans?

Accepted Answer

Some NON-QM loans have prepayment penalties (typically 1-3 years), while others don't. We'll clearly disclose any prepayment terms before you commit. Choosing a loan without a penalty gives you more flexibility.

Question 20

How do I get the best rate on a NON-QM loan?

Accepted Answer

To get the best rate: improve your credit score above 700, make a larger down payment (25%+), choose a shorter loan term, and compare offers from multiple lenders. As a broker, we shop 150+ lenders for you.

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