Business for Self Insured Mortgage

I want to outline what to expect from the mortgage process when you’re applying as a self-employed borrower. A lot of the same rules apply, though there are a few key differences you should be prepared for.

This program is designed for self-employed borrowers who are unable to provide traditional income verification but have a proven two-year history of managing their credit and finances responsibly. Eligible borrowers typically own a small business for a minimum of two years, which can be confirmed via a third-party arms length document. In addition, the borrower is required to declare their annual income, which should be reasonable based on the industry, length of operation and type of business.

Highlights

• Up to 90% LTV for Purchase Transactions
• 80% LTV for Refinance Transactions
• Qualifying Based on “Stated” Income
• Up to 2 Residential Units
• Minimum 10% down payment. 90 days history. No borrowed down payments permitted.

Applicable Premiums

       

Loan-to-Value Ratio	Single Premium	Refinance Top-Up Premium
≤ 65%	0.90%	1.75%
65.01%–75%	1.15%	3.00%
75.01%–80%	1.90%	4.45%
80.01%–85%	3.35%	6.35%
85.01%–90%	5.45%	8.05%

NOTE: Mortgage Insurance premiums are non-refundable.