What is "Alternative Lending"?
Alternative Lending is a term generally used to describe financing options that fall outside the traditional conforming loan market. Conforming loans include conventional loans with or without private mortgage insurance sold to Fannie Mae or Freddie Mac, the two largest suppliers of mortgage funds to the marketplace, as well as FHA and VA loans. Conforming loans have certain requirements for credit history, specific loan-to-value limits, and other standard underwriting criteria. An Alternative Lending loan is often referred to as a "non-conforming" loan. It may have expanded loan-to-value limits or more flexible credit requirements. Borrowers with not-so-perfect credit may be able to obtain financing in the Alternative Lending market, even if they have already been turned down for traditional conforming financing.
While the Alternative Lending or non-conforming loan products have opened up more opportunities to today's homeowner or homebuyer, it is important to work with a lender with a reputation for integrity and good service. Because every borrower's financing needs are unique, a lender must have access to flexible products that fit these needs, whether it be conforming or alternative lending. We at City Federal Mortgage can help you choose the best program at the best price, including alternative lending products.
Some examples of Alternative Lending products available at City Federal Mortgage:
No Income or Employment Verification Loans
No Asset Verification Loans
Home Equity Loans
100% Financing/0% Down Payment
Less Than Perfect Credit
bravenet.com