Various factors determine a homebuyer’s eligibility to secure a mortgage loan.

For some, obstacles may include unestablished credit, an inability to provide a high enough down payment or an unfavorable debt-to-credit ratio, just to name a few. Even those who have a high net worth and assets may encounter difficulties during the mortgage application process. This can be a problem for many buyers in the Bay Area.

Professionals who rely on freelancing or consulting for their income, for example, may find it difficult to land a loan as a result of their unconventional monthly income. Here at Guarantee Mortgage, we understand the ever-changing economy and workforce. That is why we offer our clients the opportunity to qualify for a loan even if they are in a unique financial situation with our Asset Inclusion Home Loan Program. With this program, applicants may not be disqualified for a loan because of unsteady income. If an applicant has the correct amount of assets, the program is tailored-made for them because the buyer can factor in their remaining assets as part of the application.

Remaining assets are those that are available after the down payment and closing costs are subtracted from the applicant’s fund. In effect, the remaining balance of assets acts as qualifying income.

Guarantee Mortgage will use a formula to establish a percentage of the assets left and when divided by the period of the loan, it can then be used as monthly income or qualifier for the mortgage loan.

The level of assets will be the determining factor for how much of a loan an applicant will qualify for. Other qualifications may include, but are not limited to, up to 80 percent Loan-to-Value, escrow account requirement and seven-year seasoning for foreclosure or short sale.

For more information, contact one of our mortgage professionals.