The following article is provided by Champions Funding.

The workspace landscape has changed. Starting before the pandemic, but accelerated by it, the type of borrowers serviced by mortgage brokers has also shifted. Recent income trends across the nation have brought on a surge of credit-worthy borrowers who have non-traditional strategies towards earning. More than ever, there is relevancy in market to consider the true purchasing power of prospective borrowers who maintain cash-based businesses, or generate income through e-commerce platforms, gig-work, consulting services, including those transitioning from life events, and the self-employed. There is no shortage of demand in market for increasingly flexible financing options for responsible borrowers with fluctuating, limited, or no income documentation. Curious on how to tap into this market of borrowers who are left out of traditional agency offerings? Non-QM and CDFI are the answer.

Mortgage brokers are uniquely positioned to find opportunities for borrowers that fit and make sense for their individual financing goals. Yet, mortgage professionals who focus solely on agency programs are leaving a considerable portion of these opportunities untapped and, thus, a large population of borrowers’ housing needs unfulfilled. At Champions Funding, our flagship Ally No Ratio product is not based on bank statements, employment, or DTI requirements. Diverse loan options like these expand the ability to serve today’s home buyers and investors with responsible lending solutions combining the flexibility needed for non-traditional wage earners.  All brokers looking to build their pipelines can benefit by incorporating both non-QM and CDFI into their portfolios to be equipped to service today’s borrowers.