Carrington Mortgage Services, LLC (CMS) has announced a new loan program. 

The Carrington Investor Advantage

This exciting new program is well suited for real estate investors - even if they have imperfect credit. To start there is no income documentation or employment verification are required and traditional debt to income (DTI) ratios are not required to qualify.

You only need to have positive cash flow for the subject property (expressed as a Debt Coverage Ratio greater than 1.00) to qualify.

Debt Coverage Ratio (DCR) is the expected Monthly Rents divided by the Total Monthly Payment. For example, if the expected gross rental amount for the property is $1,000, then the total loan payment cannot exceed $1,000. 

Program Highlights

  • Recent mortgage/rental lates up to 1x30x12 are ok
  • Foreclosure, short sale, deed in lieu and bankruptcy with 24 months seasoning
  • Non-warrantable condos and 2-4 units are permitted (max 75% LTV)
  • First-time investors and unleased property (refi only) permitted (max 70% LTV)
  • No cash reserves required
  • No income documentation required
  • No mortgage insurance required

Investor Advantage Program Terms

  • 5/1 and 10/1 ARMs only
  • Up to $750,000 cash-out
  • Maximum Loan Amount to $2.0MM
  • LTV up to 80%
  • Investment Properties Only
  • Min credit score: 620

Tags: Home Loans, Improving Credit