Florida Mortgage Loans Coming Soon
Attention Floridians, Florida Mortgage Loans Coming Soon!
We are currently licensed in California and Arizona and we are proud to announce that we are expanding once again, we are in the process of getting fulling licensed in the beautiful sunshine state of FLORIDA!
We pride ourselves on our top-notch communication skills and professionalism. We work above and beyond to provide you excellence, there is no question too big or too small that we won’t be able to help you with. Every loan scenario is different, WE SAVE DEALS and work every angle of your scenario to provide you with the best solution and outcome.
Our Valor team roster is stacked with the best players in the industry, we are HOME RUN HITTERS ready to swing for the fences and your loan can be the next one we knock out of the park.
Experience our GRAND SLAM service by contacting us TODAY!
Florida Jumbo Mortgage Loans
What Are Jumbo Loans?
A Jumbo Loan is one that exceeds the county guidelines for conforming and high balance conforming loan limits set by Fannie Mae and Freddie Mac. (Florida county limits here)
If you have heard of “jumbo loans,” you might be wondering what exactly is a jumbo loan? Whereas traditional mortgage loans have limits per county, jumbo loans can greatly exceed the county limits. For self-employed individuals and others with a salaried or hourly income, whose tax returns accurately portray their financial picture, jumbo loans may be the perfect program for those purchasing luxury homes and whose loan amount will exceed their county limits. Jumbo loans are a powerful tool for high-net-worth individuals and/or well-qualified borrowers to obtain alternative financing where traditional lenders say “no,” by qualifying based on credit, income, and assets.
Jumbo lenders still want to ensure borrowers can repay their mortgages, they typically require a lower debt to income ratio (DTI) to verify income. They also require a higher down payment and increased reserve requirements. Jumbo loans typically require an increased credit score of 700 or more.
Valor Lending Group features an incredible array of jumbo loans that will allow higher than the typical jumbo loan to value and debt to income ratios as well as lower credit scores and reduced reserves requirements.
Florida No-Tax-Return Investment Property Loans
What Are No-Tax-Return Investment Property Loans?
Sometimes called “Investment property loans” or “rental loans,” no tax return investment property loans do not consider a borrower’s income in the traditional sense.
The “cash flow” is just the monthly rental amount the property brings in. For example, a property renting for $2,000/month would be attributed a qualifying income of $2,000/month. The main requirement for these investment property loans is that the monthly rents cover the monthly expenses. It is that simple.
Not only is a borrower’s income not considered in the loan application process, investment property lenders do not request income amounts, in fact there is no income verification of any kind. No letters from employers, no W2s, and no pay stubs. Again, the income of the investment property is simply the cash flow of the property.
Florida Bank Statement Loans
What Are Bank Statement Loans?
These are not the type of loans that were prevalent in the pre-2008 financial crisis, and no longer are the days in which loan applicants can simply state their income on a loan application with virtually no due diligence conducted by the lender.
After the 2008 financial crisis, the sweeping provisions of Dodd-Frank changed the industry substantially, at least in the owner-occupied residential context. Since 2010 Dodd-Frank has required lenders to document a residential borrower’s ability to repay the loan.
Bank statement lenders still want to ensure borrowers can repay their mortgages; they just use bank statements to verify income as opposed to tax returns. Self-employed borrowers are able to document their ability to repay based on business deposits into their personal or business bank accounts, i.e., their true cash flow.
Florida Hard Money Loans
What Are Hard Money Loans?
Hard money lenders are typically private investors or investor groups, pools of funds, life insurance companies, and even pension and retirement funds.
Hard money loans are an alternative to traditional bank lending that allows flexibility and expediency. Neither of them are not required to conform to the same guidelines as traditional financing, such as the standardized Fannie Mae and Freddie Mac underwriting guidelines for loans to be repackaged and sold on Wall Street.
Put simply, a hard money loan is a loan that is secured by a “hard” asset – i.e., real property. Because hard money lenders secure their loans with real property as collateral, they are most concerned with a borrower’s equity in the property (or down payment for a purchase). The maximum amount a hard money lender is willing to extend – or leverage – is based on a percentage of the property’s value. Hard money lenders are most concerned about the Loan-to-Value (“LTV”), that is, the loan amount divided by the value of the property.
Florida Mortgage Bridge Loans
What Are Mortgage Bridge Loans?
Also known as a hard money loan, some homeowners are familiar with a hard money consumer bridge loan, aka “bridge money” in the context of purchasing a home while waiting for their departing residence to sell.
A hard money loan is also known as:
1). Straight Bridge Loan – Also known as a fast hard money loan
2). Consumer Bridge Loan – owner occupied
3). 2nd Position Bridge Loan – Up to 65% CLTV
4). Cross Collateral Loan – 100% financing available when you have enough equity in another property that we cross
5). Fix and Flip Loan
But in essence, most, if not all hard money loans can be viewed as a “bridge loan” from one financial situation to another. Hard money loans are a great solution for temporary funding needs. These days hard money loans have become not only increasingly more commonplace, but a powerful tool for real estate investors. It is essential to know when hard money is right for your scenario, because in the right circumstances it is an indispensable tool for every real estate investor, providing a quick and versatile way to acquire real property.
Florida Fix and Flip Loans
A fix and flip loan is beneficial for real estate flippers looking to renovate and flip or sell a property at a higher value. These loans utilize a short term limit, usually 12 to 24 months depending on the extent of the renovation. LTC or Loan to Cost, and is a calculation used to determine the total loan amount a borrower qualifies for. After Renovation Value or ARV is also used in the equation to qualify typically between 65% to 80% of your ARV. Lenders may charge interest on the full loan amount from day one, known as “Dutch Interest”. Alternatively, lenders may charge interest only on funds as disbursed. Additional factors include project experience as a key factor in the rates and terms a lender will provide in addition to FICO, Loan amount, location, etc. The Fix and Flip market is competitive, and therefore a quick close is imperative. A Fix and Flip mortgage loan program is a type of hard money loan program. Other hard money loan programs include: 1-4 Unit Residential Purchase, Rate & Term or Cash Out Hard Money Loans and commercial hard money loans. The 2 main reasons to use hard money are speed to compete with cash offers and If you are looking to be in and out or buying and selling the property quickly.
Florida Home Mortgage Loans
Depending on credit, down payment and income, there are many great home loan programs available for both salaried, hourly borrowers, self-employed and real estate investors.
Home loans fall generally into 3 main categories:
- Conventional Home Loans (conforming and non-conforming)
- Government Loans
- Non-Qualified Mortgages (Non-QMs)
1) Conventional Home Loans
Conventional home loans are simply mortgages that are not insured by the federal government. Within conventional loans there are two categories of loans:
- Conforming
- Non-conforming
(a) Conforming Home Loans
Firstly, conforming loans meet the underwriting guidelines of Fannie Mae and Freddie Mac. Those government-sponsored enterprises then buy, repackage and sell the loans as securities in the secondary market.
Conforming loans are often called “agency loans” because they meet the credit and government underwriting matrices Desktop Underwriter (DU) for Fannie Mae, or Loan Product Advisor (LP) for Freddie Mac. The maximum conforming loan limits vary by Florida county check your county loan limits.
Agency loans are not directly backed by the US Government, but rather indirectly through government-sponsored enterprises Fannie Mae and Freddie Mac. Agency loans, sometimes called “vanilla loans,” are the most conservative and have a very low risk of default.
(b) Non-Conforming Home Loans
Secondly, non-conforming loans have loan amounts higher than the maximum limits established by Fannie Mae and Freddie Mac for conforming loans. The agencies do not guarantee they will buy or re-sell nonconforming loans in the secondary mortgage market. There are specific investors, hedge funds as well as other entities for these types of loans.
If it is a jumbo loan, then the loan amount exceeds the conforming loan limits. Jumbo loan terms can vary widely in terms of rate and down payment, but the best jumbo loans have very competitive rates. These are a great option for borrowers looking to purchase or refinance in a high value area.
2) Government Loans
Government loans are issued or backed by the US federal government and this protects the lender from risks of default. This in turn allows government loans to have some of the best rates available and more relaxed qualification requirements than typical conventional or Non-QM loans.
3) Non-Qualified Mortgage (“Non-QM”) Loans
Non-Qualified Mortgages (“Non-QM Loans”) have different underwriting guidelines than a typical conventional or government-backed loan. Non-QM loans provide self-employed borrowers and real estate investors an alternative income qualification method.
Qualified Mortgages are prohibited from having “risky” loan features such as interest-only payments, negative amortization, balloon payments, terms beyond 30 years, or excessive points and fees. Thus, anything with one of these features would be a non-QM loan.
Significantly, non-QM loans for owner-occupied properties (i.e., primary residence, second and vacation homes, etc.) must still follow Dodd-Frank’s Ability-to-Repay (ATR) Rule. You can acquire financing for conforming loans using tax returns and financing for non conforming loans through alternative methods.
VA Loans
What Are VA Loans?
The VA home loan, backed by the Department of Veteran Affairs, was first created in 1944. This loan assisted service members with purchasing or refinancing a home after returning from war without requiring a great credit score or down payment to do so. Later, some lenders increased their loan limits to above the county loan limits to assist current service members and veterans with larger purchases in areas where the conforming and high balance loan limits were much lower that the average house in the area.
VA loans are up to 100% financing, limited closing costs, low interest rates for all who qualify whether it is a purchase or refinance including a cash out refinance and no mortgage insurance.
VA loans are not hard to find but finding the lowest rate and best terms of a VA loan can be tough if you are not educated on the current market standard. In addition, having a good and knowledgeable VA loan broker can be the difference in closing your purchase on time or even having your offer accepted all together.
The VA loan is the best loan for those who qualify but it can be difficult to get your offer accepted by the seller when competing with conventional financing or cash buyers. We work with the top funding sources to help you receive the most competitive pricing available. We have been able to get VA loan offers accepted even when competing against cash buyers.
Florida FHA Mortgage Loans
These loans are government-backed through the Federal Housing Administration (FHA). They also allow for the smallest down payment of all loans, 3-3.5% or even no down payment when utilizing a down payment assistance program. The county loan limits will determine how much you can borrow. You can find your county loan limits depending on where in Florida the property is located here (also required is mortgage insurance, which is around 1% of the loan amount). FHA loans are an incredible option for borrowers with a lower credit score and low down payment.
Florida Construction Loans
What Are Ground Up Construction Loans?
A ground up construction loan is to provide a financing solution to construct a wide variety of real estate properties. They can be single family, multi-family, and mixed use projects. A licensed and bonded general contractor will assist you with plans, entitlements, and get your property shovel ready while solidifying the financing to get the project started.
Valor Lending Group has a number of lending solutions and options allowing you choose the right route to take to secure the luxury property of your dreams.
Florida Commercial Loans
Finding the Best Commercial Loan is in an entirely different category than residential lending. Commercial property loans are often vastly different than loans for residential properties. Although they both pertain to real property, and sometimes even income-producing property on the 1-4 unit residential side, commercial loans are simply more complicated than residential loans.
There are two main reasons commercial property loans are so different from residential property loans:
- The numerous types of commercial properties that exist.
- The value of commercial property.
There are a wide variety of properties that would fall under the umbrella of commercial property loans, including office buildings, multifamily (5+ units) apartment buildings, warehouse and retail centers. Commercial properties can also consist of self-storage facilities, automotive, industrial and light industrial, hospitality (motel/hotel), mobile home parks, daycare centers, raw land and agricultural properties, churches and other special use properties.
The process of securing a commercial loan is vastly different that that for a primary residence or even a 1-4 unit investment property. Here is everything you need to know about how to obtain the best commercial loan to fit your needs.
We are NEVER too busy for your referrals!
WE SAVE DEALS!
TRUST US TODAY!
Recap of our Loan Products
- Hard Money Loans (20% down / minimal documentation) Typically Fund in 7-10 days.
- Stated Income Loans (Great for business owners and self employed ) No tax returns!
- 100% financing is available (we can cross collateralize other properties if there is enough equity)
- Valor VA Home Loan 100% financing up to $1.5MM
- Rental Property Loan – No tax returns or DTI calculation! Based on subject property cash flow – No DSCR Coverage needed!
- Flipper & Rehab Loans (Flip a property with one of our many options)
- 2nd Position Loans up to $5mm
- Raw Land & Lot Loans
- Ground up Construction for spec homes, custom homes and commercial ground up.
- Farms, Vineyards, Ranches and Agricultural Properties (25-30% down)
- 10% down Jumbo’s up to $1.5mm
- Manufactured Housing / Mobile Homes (20% down / 600+ credit score)
- Acreage Properties
- Commercial Loans up to $500mm
- 3% & 5% down Conventional Loans– LPMI (Lender paid mortgage insurance)
- Foreign Nationals Loans (no social security or residency required)
We Also Offer:
- Conventional Conforming Loans
- High Balance Conforming
- Jumbo Loan Financing | 10% down Jumbo to $1.5mm
- FHA, USDA
- Reverse mortgages up to $1 Million Value
- Cash Out Refinancing
**Rates and terms subject to change without notice
We are never too busy for your referrals!
For the most up to date mortgage news visit: Mortgage News Daily
Check out our GOOGLE REVIEWS
Did we miss anything?
- Call or Email me (Stefanie Prescher) if there is any information that we have missed
- Follow us on Social Media
- Share this on your Social Media
- Do not hesitate to give us your feedback
- Ask us for a quote
- Visit our homepage to check out what Valor Lending Group has to offer
