Alt-Doc Program

For the Non-Traditional Borrower

Alt-Doc (Alternative Documentation) is a mortgage program that qualifies homeowners by using non-traditional methods and/or non-traditional documentation to determine qualifying income.

This unique solution has distinct approval parameters for borrowers that have demonstrated the ability to repay (ATR) a loan but cannot qualify for a standard mortgage program. Borrowers looking to take advantage of alternative qualifying methods such as Asset Depletion or as few as 3 months Bank Statements, can do so with lower credit scores (down to 660) and loan-to-values (LTVs) up to 90%.

Download our Program Guide and Alt-Doc Eligibility Matrix to learn more.

  • The Alt Doc matrix has been expanded and updated to include all documentation options available in one grid including reintroducing the 1 Year Tax Return and 1 Year W2 documentation option as well as increased LTV allowances (up to 90% for a Primary Residence purchase) and decreased FICO requirements (down to 680 for a Cash Out Refinance)
    • Delayed Financing option is now treated and priced as a Rate & Term Refinance transaction
    • All transactions with a LTV ≤ 60% now require only 3 months reserves
    • Appraisal age is limited to 120 days max – Recerts of value are no longer permitted.
    • Borrowers who have had a recent forbearance are now eligible as long as they now meet FNMA forbearance reinstatement requirements
    • Non-Permanent Resident Aliens:  the Visa expiration date has been revised from 3 years to 1 year with additional overlays – see guidelines for specifics.
    • Business Funds – guidance has been updated to no longer require a minimum percentage of ownership in order to utilize the funds as qualifying assets towards closing/reserves.
    • Cash out proceeds can now be used towards the reserve requirement
    • Vested Retirement accounts can now be qualified at 80% of the value for closing/reserves.
    • Cryptocurrency is eligible to be used for closing funds and reserves as long as FNMA requirements are met.
    • Non-Warrantable Condos are now eligible again up to a max 65% LTV
    • Mixed Use property guidance has been added and defined.

Borrowers who do not meet traditional documentation requirements but want the chance to qualify using flexible alternatives.