🔴 Daily Mortgage Rates LIVE - 11/07/2025 -Bank Statement Mortgage Loans

 In this episode of "Daily Mortgage Rates LIVE," we dive into Bank Statement Loans—a flexible mortgage option designed for self-employed individuals and business owners. Learn how these loans work, who benefits most, and the pros and cons compared to traditional mortgages. Perfect for freelancers or entrepreneurs with nontraditional income looking to buy or refinance a home. 

 🎥 Watch the full episode: 👉 https://themortgagecalculator.com/Page/Daily-Mortgage-Rates-LIVE-Video-Podcast 

Catch all the episodes of Daily Mortgage Rates LIVE at https://themortgagecalculator.com/Page/Daily-Mortgage-Rates-LIVE-Video-Podcast

Check out all episodes of Daily Mortgage Rates LIVE at https://themortgagecalculator.com/Page/Daily-Mortgage-Rates-LIVE-Video-Podcast

The Mortgage Calculator is a licensed Mortgage Lender (NMLS #2377459) that specializes in using technology to enable borrowers to access Conventional, FHA, VA, and USDA Programs, as well as thousands of Non-QM mortgage loan program variations using alternative income documentation!

Using The Mortgage Calculator proprietary technology, borrowers can instantly price and quote thousands of mortgage loan programs in just a few clicks. The Mortgage Calculator technology also enables borrowers to instantly complete a full loan application and upload documents to our AI powered software to get qualified in just minutes!

Our team of licensed Mortgage Loan Originators can assist our customers with Conventional, FHA, VA and USDA mortgages as well as access thousands of mortgage programs using Alternative Income Documentation such as Bank Statement Mortgages...

Transcript

So thanks everybody for joining us. My name is Nick Hiersche. I'm the president of the Mortgage Calculator.

We are a lender that does all kinds of types of loans, everything from conventional FHA, VA, which we will check out in a second, to our non QM options, which is going to be our topic for today. One of our non QM loan options uses bank statements for income. So one of our most popular programs for our self employed borrowers. So let's go ahead and get started for today. So first off, we wanna check out the general market.

One of the best things we can look at in order to get an indicator of where rates are are going to react is going to be the ten year treasury. Definitely easy for everybody to understand. Rates typically move hand in hand in here. It's a little more complicated than that. This gives us a good indicator.

You see we had some not so great news come out earlier this week and rates bumped up, but now we are back to normal. And as I like to put into perspective here, we're pretty much still at one year low. So great opportunity for everybody out there to continue the process and looking at their next home or possibly to lower their rate. So now let's check out today's live rates. So we have over a 100 different banks, lenders, and investors we're partners with, and all of our different partners are live with their new rates today.

It is just just about noon eastern time here, and that is typically the time we get all of our rates updated. So these will be our live rates for this morning, and we are using a standard scenario here, single family home, 500,000 purchase price, 300,000 loan amount, corresponds to 60% loan to value, seven sixty five go score, percent that income ratio. That way we can compare across all the different programs. Obviously, there are a lot of different LTVs and ratios we can use, but this allows us to compare very easily. So first up here, our conventional primary option for a primary home.

So this conventional option, Fannie Mae, Freddie Mac. Typically, the most common options you think of when you think of a mortgage coming in today, rates as low as 5.875. Finally, if you are at 6.135, you can see there. And we'll typically compare that for our borrowers to an FHA option. FHA does have upfront in yearly mortgage insurance.

So the rate is a little bit lower here, 5.25 rate today on FHA. And the final APR comes in very similar there to conventional with all the fees, 6.141. And for our eligible veterans, active service members, and surviving spouses here, we have our VA option. Rates coming in today at 5.375 as the lowest option. And final APR, with all the fees included there are 5.62 you notice there, we do have some reduced fees there under that program.

So definitely, if you are eligible, always look for the VA programs. And another option here for our properties in USDA eligible areas, so they're typically the rural areas of the country. We do have our USDA options for our customers that are eligible under the income limits as well, reached as low as 5.125. Final APR, 5.779 with all the fees that are included in FHA. So we'll typically could be comparing that to an FHA, example or conventional example when we're looking at USDA.

So definitely look at those options if you're looking at those areas. And options are non QM options. General, alt doc, primary, home. So using any alternative documents including full doc, bank statements, ten ninety nine, all our different options. And we'll go into a deep dive on bank statements in a little bit here.

But we can get rates as low as 5.875, the same as conventional, which is amazing. Final APR, 6.145. So you see the cost are just a touch higher than conventional, but it's absolutely amazing for us to use alternative documents and still get the same rates as a conventional loan. And we can use our non QM programs for investment properties as well. So this is our standard thirty year fixed, rates is at a 6%.

Final APR 6.321 using our alternative docs for on QM programs. Again, full doc, bank statement, ten ninety nine, p and l, all kinds of different options. And we're gonna compare that with our conventional option for an investment party. Rates coming in today, 6%, the same. Final APR, 6.311.

So just a touch cheaper overall on cost for conventional. Absolutely amazing when we can do our alternative docs, bank statements, etcetera, at the same exact cost as conventional. And one of our favorite non QM options for investors out there are DSCR options. So this is our standard DSCR with a three year prepayment penalty. DSCR stands for Debt Service Coverage Ratio.

No income or employment needed. We simply use the estimated rents to determine the DSCR ratio. And this has a standard three year prepayment penalty, which is pretty common for these investor loans. Rates as low as 5.875 there. Final APR, 6.181.

It conventional option. So absolutely amazing adding a prepayment penalty in there. You can even beat conventional. And we can add a five year prepayment penalty option there, same rate, 5.875, but you see a little bit lower cost, 6.132 on the APR, that's a little bit lower cost overall. And today, we'll add a couple more things real quick.

We'll go over our no prepayment penalty option for DSCR. Some investors don't want a prepayment penalty. No problem. So you see here rates as low as 6%, 506.321, almost identical to conventional to to have no pre payment penalty using DSCR. So DSCR is one of our favorite programs for our investors right now.

And our second mortgage option. So a lot of these rates migrate. No problem. If you need to get cash out, definitely look towards one of the second mortgages options here. These are fixed rate second mortgages and we can use alternative docs because these are not human programs.

So for our primary home, if we don't wanna touch that first mortgage, we need to get some cash out still. We can do a fixed rate second mortgage. You can use bank payments to 90 nines, etcetera. And we can get rates as low as 7.875. Final APR, 8.168.

You can see there to get that cash out, that primary home. And we can do the same program for investment properties or fixed rate second mortgage for an investment property using even alternative documentation, bank statements, etcetera. And we do even have a DSCR option for the second mortgage to get cash out. So rates of low is 8.75 for investment properties here. Finally, PR at 9.176.

So those are great options if you have a mortgage you don't wanna touch but still need to access that equity as most of America has record equity at this very moment. Now let's get into our deep dive topic for today. I pulled up an example of home here, so this is just a home, in my area, a nice single family home here, and, you see it's out of range of the typical conventional loan limits as well. So if we wanna do, you know, 5% down or three percent down option, the conventional typically allows, this would put us out of reach at a $1,250,000 purchase price. So I use this in my example here.

And first up is if our customer wanted to buy that exact property that we just looked at with a bank statement loan, the best lowest down payment we can offer for bank statement options is 10% down, which would still be better than a conventional option because conventional does have low and limits there. So for 10% down, we can purchase this home as a primary. This will be using twelve months of personal bank statements, and there is no PMI ever on our non QM options. Of course, we can get better rates in pricing if we do 20% down or more, but this is typically our most common request for our borrowers that are self employed looking to use bank statements to get a new primary home. And you see here the rates, we have some rates as low as 7.25, with a cost of 2.475.

And we even have a par rate here at no cost, and that rate is 8%. So these are great options in order to just put 10% down here in this example and finance, what would be a jumbo loan. This is a non QM loan, which could be jumbos as well. This would not be financeable under conventional. So these are all the details of the loan.

You can see here we set up. But now let's go into an alternative option, which would be purchasing the property as a second home. So especially here in Florida, this is a property right near the beach. We wanna make sure we can accommodate our borrower. We wanna use it as a second home, second primary home.

So we can do the same thing. There are very few options for 10% down, but I did find one this morning, which is pretty amazing. This is also using twelve months of personal bank statements. And again, no PMI required ever on these options. And if we put more common, 20% down, obviously, we can get much better rates.

But this is pretty amazing for a second home to just do 10% down on a jumbo loan, but using bank statements, 8.125 costing 2.475. And we can bring that up to an 8.375 rate to lower the cost to 1.975. So still some great options to purchase it as a second home. If we do 15 or 20% down, we'll get much more options at lower rates. And the final option today that we wanna go over is for our investment there.

So if we wanna purchase that home, we just looked at same exact home as an investor. This would be for an investment property. A little bit different set up here for an investment property, we have to put 15% down payment. And this is using twelve months of business bank statements, which is most common for our investors when they request to purchase a investment property. Still no PMI, required.

And if you put 20% down, we can get better options. This also includes a three year prepayment penalty option to help to reduce the rates and costs. Of course, we have no prepayment penalty options all the way up to five year prepayment penalty options as you saw on the example. But let's get into the rates here. So some pretty amazing rates because we were at the prepay and a little more down payment.

So rates here as low as 6.75 or cost of 2.975. It's pretty expensive. But if we go up to a rate of 7.65, we can even get a lender credit over $5,000 towards our closing cost there. So a bunch of different options in between, whatever works best for our borrower, we'll go ahead and do. And you see, they're still very affordable for our investors out there, but being 15% down, which is pretty amazing.

So that is it for our examples today. Let me pull back up rates. I don't see any questions. Again, if anybody has any questions or comments or wants to get a full quote, please get with one of our team members. We'd be happy to help you out.

So I hope everybody has a great day, and go ahead and get out there and go get a home on their contract. Thanks, everybody.