Ericka Herrera is a Senior Loan Officer at Partners United. She’s a great lender to know, and not only for her winning personality. Ericka works loans for buyers that many other lenders can’t do. She can help first-time homebuyers, Veterans and has some wonderful programs for self-employed and investor clients.
Since her bank does its own underwriting and funding sources, they are not limited to the normal Fannie and Freddie guidelines, which can be cumbersome when borrowers don’t fit in the box. Here are a few unique loan scenarios she can help with.
Investor Loan Uses Property, Not Borrower Income, to Qualify Loan
Instead of using your income to qualify you for a loan on an investment property, Ericka can use the projected cash flow of the property to qualify the loan instead. As long as it comes out $1/month positive, they can work a loan up to $2 million. This loan is for folks who already own at least one investment property, and a borrower can buy up to 15 properties this way! Her underwriters don’t look at debt-to-income ratios, and they don’t need to see your tax returns. Of course, rates are a little higher than conventional financing, they’ll require a 20% down payment, and they need to see two months cash reserves. This loan product is not intended for “fix and flip” buyers, rather buy-and-hold investors. The program is available for both purchases and cash-out refinances.
Borrower Earns Cash Tips
Ericka had a borrower with hard to document tip income from tips from working at a casino. Most lenders won’t count income that they don’t see on your tax returns. But the underwriters qualified this borrower for nearly double the loan amount on what she would have qualified for using tax returns, because she was able to provide bank statement history documenting consistent and regular deposits from tips income.
Borrower with Extenuating Circumstances
The “Smart Series” loan allows for challenged borrowers to qualify for a loan, with a good explanation. Even if they are one year out of bankruptcy or short sale, and two years from foreclosure — if extenuating circumstances were at play and the underwriters are ok with it, then they can work a loan. They’ll require a 15% down payment, but up to 10% of that can be a gift. Credit scores begin at 620, and 12-months of on-time housing payment history.
First-Time Homebuyer Down Payment Loan
As an alternative to Colorado’s CHAFA loans, they offer a new program that pairs a 97% conventional first mortgage with a 4% community second. This program does not have mortgage insurance and for borrowers with good credit histories, can be a less expensive way to purchase a home than state bond financing. Income limits do apply, contact Ericka for more details.
About Partners United Financial
This regional mortgage banking firm expanded to the Denver Metro area two years ago, and Ericka opened the Denver office. Other Colorado branches exist in Fort Collins, Loveland and Johnstown. Based in Ohio, and licensed in 10 states, Partners United Financial is a purchase-focused arm of the NewRez family of companies. With the power of a large national company behind them, and the local service that Ericka provides, Partners United Financial is uniquely positioned to help a wide range of clients find great financing solutions.
Questions on these amazing loan products? Get in touch with Ericka now.