CDFI ProgramNo Income Documents. No Debt-to-Income Ratio.
This is not a stated income loan. Income is not documented, not calculated, and not stated anywhere on the application. There is no debt-to-income ratio in the file at all.
It works because the loan is originated through a Community Development Financial Institution. A CDFI-originated loan is exempt from the Ability-to-Repay rules under Dodd-Frank, which is what allows underwriting to look at credit, assets and the property rather than pay stubs and tax returns.
Income docsNone required
Loan type30-year fixed only
Minimum score640 FICO
OccupancyPrimary residence
Who this is built for
The program exists to serve borrowers who can clearly afford a home but do not fit the documentation rules a conventional lender has to follow.
💼Self-employed with written-down incomeYour returns show what your accountant legally minimized. This program does not read them.
🌎New to the countryLimited US income history or a short credit file. Underwriting can consider alternative documentation and borrower character.
💵Cash-based earningsIncome that is real but hard to document in the way a traditional lender requires.
📉Strong assets, awkward incomeReserves and credit are solid, but the paper trail on income does not fit a conventional box.
Program terms at a glance
Loan amounts$100,000 minimum, up to $2.5 million.
Purchase and rate/termUp to 80% loan-to-value with a 720 score and nine months reserves. 640 score reaches 65%.
Cash-out refinanceUp to 75% loan-to-value at 700, down to 60% at a 640 score.
ReservesSix to nine months of full payment depending on the tier. Gift funds cannot be used for reserves.
Credit history640 minimum score. Clean 12-month mortgage history. Bankruptcy, foreclosure, short sale and deed in lieu need 24 months of seasoning.
Terms30-year fixed only. No adjustable rate, no interest-only, no balloon, and no prepayment penalty.
PropertyOne to four units, condos, PUDs, modular and rural homes. No manufactured or log homes, no properties over 20 acres, no working farms.
Not available forInvestment properties, second homes, LLCs or corporations, and borrowers on temporary protected status.
Available in Illinois. The program is not offered in every state. It is currently unavailable in Washington DC, Maine, Maryland, Nevada, Pennsylvania, Washington and West Virginia. Tell me the property state and I will confirm eligibility before we go any further.
Program guidelines are general and current as of publication. Terms, eligibility and pricing vary by borrower, property and state, are subject to change without notice, and this is not a commitment to lend. Not all applicants will qualify.
No Income Verification Mortgage Questions
Are no income verification mortgages legal?
Yes, through the right lender. Loans originated by a Community Development Financial Institution (CDFI) are exempt from the federal Ability-to-Repay rule, which is what allows underwriting to focus on credit, assets and the property instead of income documents.
Is this the same as a stated income loan?
No. Income is not documented, calculated or stated anywhere on the application, and there is no debt-to-income ratio in the file.
What credit score do I need?
The minimum is a 640 FICO score. Higher scores allow a higher loan-to-value.
How much down payment is required?
Up to 80% loan-to-value is available with a 720 score and nine months of reserves, which means 20% down. At a 640 score the maximum is 65%, or 35% down.
Can I use a no income documentation mortgage for an investment property?
No. This program is for a primary residence only. For a rental, a DSCR loan qualifies on the property's rent instead of your income.
Can I do a cash-out refinance?
Yes. Cash-out is available up to 75% loan-to-value with a 700 score, down to 60% at a 640 score.
What loan amounts and terms are available?
Loan amounts from $100,000 up to $2.5 million, on a 30-year fixed rate only.
Buying a rental instead? See DSCR loans for 1 to 8 units. Self-employed with strong deposits? See bank statement loans.
