24 Mar
Income qualification
Conforming programs require the applicant to show sufficient income, fully documented and verified. If a homeowner or buyer has low documented income, a non-conforming program may be the only recourse. Some non-conforming programs allow for high debt-to-income ratios. For example, conforming programs limit total housing and long-term debts to only 36% of the borrower’s gross income. Non-conforming programs, however, allow the borrower to qualify with up to 55% of gross income targe