Announcement 21-0038: Non-QM Program Underwriting Enhancements

September 13, 2021

Overview

Carrington Mortgage Services, LLC (CMS) is pleased to announce the following guideline enhancements for the Non-QM loan programs (Prime Advantage, Flexible Advantage Plus and Investor Advantage). These changes are effective September 13, 2021.

Prime Advantage Program

The Prime Advantage program has the following enhancements:

  • Increased Maximum Loan Amount to $3,500,000
  • Increased Maximum Cash-Out from $500,000 to $750,000
  • Escrow Waivers are now permitted when the Borrower’s FICO > 700 and < 80% LTV
  • Increased Loan Amount tier from $2,000,001–$2,500,000 to $2,000,001–$3,000,000
  • Added new loan amount tier from $3,000,001–$3,500,000 with LTVs shown in the table below:
Program Maximum LTVs Primary Residence & Second Homes
Full Doc Alt Doc
Loan Amount Reserves FICO Purchase & R/T Cash Out Purchase & R/T Cash Out
$3,000,001
up to
$3,500,000
12 Months 720+ 75% 65% 75% 65%
700 70% 60% 70% 60%

Investor Advantage

The Investor Advantage program has the following enhancements:

  • Increased Maximum Loan Amount to $2,000,000
  • Increased Maximum Cash-Out from $500,000 to $750,000

Flexible Advantage Plus Program

The Flexible Advantage Plus program has the following enhancement:

  • Escrow Waivers are now permitted when the Borrower’s FICO > 700 and < 80% LTV

Contacts

Please contact CorrespondentRM@carringtonms.com with any questions.
Carrington thanks you for your business.

Government Agency Approvals

FHA Non-Supervised Mortgagee Approval #:
24751-0000-5
VA Automatic Lender Approval #:
902324-00-00

Mortgagee/Loss Payee Clause

Carrington Mortgage Services LLC
ISAOA/ATIMA
P.O. Box 692408
San Antonio, TX 78269-2408

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This information is provided for your convenience and Carrington Mortgage Services, LLC makes no warranties concerning the accuracy or completeness of any of the information. This is not financial or legal advice and should not be taken as such. This information is for mortgage professionals only and is not intended for distribution to consumers.
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Government Agency Approval | FHA Non-Supervised Mortgage Approval #: 24751-0000-5 | VA Automatic Lender Approval #: 902324-00-00

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