Underwriting Guidelines for Expanded and Alternative Mortgages

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New
Product
Business For Self (BFS) Expanded
BFS - New Professional
Vacation/ Secondary Home
Rental
Secondary Income Qualifier (SIQ)
Expanded Mortgages
 
 
 
Eligible Properties Loan Amounts Income Verification Max
Loan-To-Value
(LTV)¹
Min Credit Score¹ Max GDS/TDS Maximum Amortization Terms Additional requirements/Features
Owner occupied
1-2 units
$50,000 up to $1,000,000
Max equity withdrawal up to $200,000
  • Flexible Documentation
  • Letter of Attestation of Income
  • Business bank statements for most recent 12 months
  • Recent NOA (confirming no tax arrears)
  • Documentation is required upfront
Up to 80% 580 35%/42%
>680 = 39%/44%
Up to 35 years
  • 6 months closed
  • 6 months convertible
  • 6 months open
  • 1-year open
  • 1 - 5, 7 and 10-year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
  • Minimum 2 years in business
Owner occupied
1-2 units
$50,000 up to $1,000,000
Max equity withdrawal up to $200,000
  • Flexible Documentation
  • Letter of Attestation of Income
  • Confirmation of professional accreditation
  • Recent NOA (confirming no tax arrears)
  • Documentation is required upfront
Up to 80% 580 35%/42%
>680 = 39%/44%
Up to 35 years
  • 6 months closed
  • 6 months convertible
  • 6 months open
  • 1-year open
  • 1 - 5, 7 and 10-year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
Owner occupied
Max 1 unit
$50,000 up to $300,000
Max equity withdrawal up to $50,000
  • Verifiable Income
  • BFS — Expanded
  • BFS — New Professional
Up to 65% 620 35%/42%
>680 = 39%/44%
Up to 35 years
  • 6 months closed
  • 6 months convertible
  • 6 months open
  • 1-year open
  • 1 - 5, 7 and 10-year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
Owner occupied
1-2 units
$75,000 up to $1,000,000
Max equity withdrawal up to $25,000
  • Verifiable Income
  • BFS — Expanded
  • BFS — New Professional
Up to 75% 650 35%/42%
>680 = 39%/44%
Up to 35 years
  • 6 months closed
  • 6 months convertible
  • 6 months open
  • 1-year open
  • 1 - 5, 7 and 10-year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
Owner occupied
1-2 units
$50,000 up to $1,000,000
Max equity withdrawal up to $200,000
  • Verifiable Income
  • Secondary income
    (documentation requirements vary depending on deal specifics)
Up to 80% 580 35%/42%
>680 = 39%/44%
Up to 35 years
  • 6 months closed
  • 6 months convertible
  • 6 months open
  • 1-year open
  • 1 - 5, 7 and 10-year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
New
Product
Equity 50
Equity 65
Credit Rebuild
Secondary Income Qualifier (SIQ)
BFS > 2 Years
BFS < 2 Years
Rental
Vacation/ Secondary Home
Alternative Underwriting Guidelines
 
 
 
Eligible Properties Loan Amounts Income Verification Max Loan-To-Value (LTV)¹ Min Credit Score¹ Max GDS/TDS Maximum Amortization Terms Additional requirements/Features
Owner occupied
1-2 units
$50,000 up to $400,000 Verifiable or BFS
(verbal, not confirmed)
Up to 50% 660 N/A Up to 30 years

Up to 35 years for 5-year
terms only
1 - 5 year closed

3 and 5-year VRM
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • Properties must be in an urban location and move-in ready
  • No previous bankruptcies
  • Must have positive net worth
  • No income tax arrears
Owner occupied
1-2 units
$50,000 up to $400,000 Verifiable or Verifiable BFS
(standard proof of income)
Up to 65% 660 NA/50% or NA/65%

Net worth must be 1.5x
loan amount with
confirmation required
Up to 30 years

Up to 35 years for 5-year
terms only
1 - 5 year closed

3 and 5-year VRM
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • Properties must be in an urban location and move-in ready
  • No previous bankruptcies
  • Must have positive net worth
  • No income tax arrears
Owner occupied
1-2 units
$50,000 up to $750,000

BFS Stated for credit score < 600:
up to $500,000

Max equity withdrawal up to $100,000
for credit score ≥ 600
Verifiable or BFS Stated > 2 years Up to 65% 540 NA/45%

BFS Stated for credit
score < 600: NA/42%

Bankruptcy discharged
less than 2 yrs: NA/40%
Up to 35 years
BFS Stated credit score

< 600: Up to 25 years
1 - 5 year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed case by case, based on length of time from bankruptcy discharge and credit score
  • Bankruptcy discharged 2 years with re-established credit
  • Bankruptcy discharged between 1 - 2 years with re-established credit
  • Bankruptcy discharged less than 1 year with re-established credit
Owner occupied
1-2 units
$50,000 up to $750,000

BFS Stated for credit score < 600:
up to $500,000

Max equity withdrawal up to $100,000
for credit score ≥ 600
Verifiable

Secondary income
(documentation requirements vary
depending on deal specifis)
Up to 65% 540 NA/45%

BFS Stated for credit
score < 600: NA/42%
Up to 35 years
BFS Stated credit score

< 600: Up to 25 years
1 - 5 year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
Owner occupied
1-2 units
$50,000 up to $750,000

BFS Stated for credit score < 600:
up to $500,000

Max equity withdrawal up to $100,000
for credit score ≥ 600
Verifiable or Stated Up to 65% 540 NA/45%

BFS Stated for credit
score < 600: NA/42%
Up to 35 years
BFS Stated credit score

< 600: Up to 25 years
1 - 5 year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
Owner occupied
1-2 units
$50,000 up to $500,000

Max equity withdrawal up to $50,000
BFS Stated Up to 65% 540 45%/50% Up to 35 years 1 - 5 year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
  • Loan amount may vary based on lower credit score, property location or property type
Non-owner occupied
1-4 units verifiable
1 - 2 units BFS Stated
$75,000 up to $500,000

Max equity withdrawal up to $50,000

BFS Stated up to $25,000
Verifiable or BFS Stated > 2 years Up to 65% 580 Verifiable
650 BFS Stated
NA/42%

Also BFS Stated min
DCR .75x
Up to 25 years 1 - 5 year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis
  • 80% rental offset available if subject property is the rental
  • Properties must be in an urban location
Owner occupied
1 unit only
$50,000 up to $300,000

Max equity withdrawal up to $50,000
Verifiable or BFS Stated > 2 years Up to 65%

BFS Stated up
to 60%
620 NA/45% Up to 35 years 1 - 5 year closed
  • Rate hold: Purchase — 120 days2, Refinance — 60 days
  • LTV is assessed on a case by case basis

¹Debt service flexibilities are based on an assessment of the strength of the overall application. Satisfying the minimum credit score alone does not automatically entitle the borrower to debt service flexibilities. ²Standard rate hold for purchase is 90 days; premium applies for rate hold up to 120 days. All mortgages are subject to credit approval. Certain conditions apply. All mortgages are funded by, registered in the name of, administered and serviced by B2B Bank. ®B2B BANK and BANKING THAT WORKS FOR BROKERS are registered trademarks of B2B Bank.

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