What is the WVOE？
WVOE is a good choice for wage earner who can not be qualified with agency loan and do not want to provide varities of income documents.
WVOE Program Highlights
7/6 ARM (5/1/5)
1) Foreign national allowed;
2) No Paystub / W2 / tax return / 4506-C;
3) Gift funds allowed;
4) Max. Loan Amount $2M;
5) Max. LTV 70%;
6) Min. FICO 700.
* If FICO 680-699, please call for exception
What is WVOE?
Did your lender repeatedly request updated paystubs due to underwriting conditions?
Did the lender calculate your income and tell you that you are not qualified for the mortgage?
Have you not been able to find your W2s or paystubs?
Salaried borrowers receive a consistent wage or salary from an employer in return for a service rendered and have no ownership or less than 25% ownership interest in the business. Compensation may be based on an hourly, weekly, monthly, or semi-monthly basis. If hourly, the number of scheduled hours must be addressed. The income that is verified must be converted into a monthly dollar amount for use on the formal application (FNMA Form 1003). At the discretion of the underwriter, additional documentation of income may be requested.
The Benefits of WVOE
For WVOE, only a WVOE form is needed to calculate qualified income, with no need for any other income documents. This simplicity makes WVOE particularly attractive, as no agency loans offer such a program. Furthermore, unlike other programs, WVOE doesn't require applicants to have extensive assets.
How to calculate the salary?
- Use the base salary (semi-monthly, bi-weekly, or hourly rate as supported by YTD) from WVOE.
Examples:
- Semi-monthly: Semi-monthly amount multiplied by 2 equals monthly income.
- Bi-weekly: Bi-weekly amount multiplied by 26 divided by 12 equals monthly income.
- Teacher paid for 9 months: Monthly amount multiplied by 9 months divided by 12 months equals monthly qualifying income.
Remember to have your employer complete the WVOE form to expedite the lending process.
