Home Buyer Power Scenarios

TPO
Non-QM Overview
Home Buyer Power is designed for high income, full
Documentation borrowers with higher DTI’s,
supplemented by high disposable income or borrowers
with high income potential due to their line of work who
have not yet established a savings pattern. Here is a quick
reference of the program with scenarios to better
understand the program
TABLE OF CONTENTS
 Benefits of Home Buyer Power
 Common Terms and Definitions
 Scenarios
Benefits of Home Buyer Power (Top)
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All of the additional cost is interest, so the tax deduction will be significantly higher
Even though the rate may be higher, with an Interest Only payment, a borrower with a DTI
greater than 43% will be able borrow more and have a lower payment than a fully amortizing
loan
With an interest only loan, any unscheduled payment to principal will reduce the next monthly
payment
Borrowers will now be able to afford more home than they could otherwise with a Qualified
Mortgage
Common Terms and Definitions (Top)
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Residual Income: New Penn requires evidence of $2,500 of net disposable income left each month
after deducting recurring and necessary expenses from gross monthly income.
Determine residual income by clicking the button below to access the calculator
Click Here for our
Residual Income Calculator
Click Here for our
DTI-Payment Calculator
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TPO
Non-QM Overview
Pricing Scenarios (Top)
 When a borrower doesn’t fit the qualified mortgage DTI of 43%, see how Home
Buyer Power can benefit them:
Non QM rate adder
I/O Adder
1.25%
0.250%
Annual Income
200,000
Loan Amount
750,000
Monthly T&I
1,500
Other debts % of Income
15%
Non QM rate adder
I/O Adder
1.25%
0.250%
Annual Income
300,000
Loan Amount
1,000,000
Monthly T&I
1,895
Other debts % of Income
20%
Jumbo Advantage won’t work here:
DTI is over 43%
Choose HBP- Interest Only
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RATE: 5.625%
Monthly Payment: $3515.63
DTI: 49.9%
$119.25 Savings with HBP- I/O over Jumbo Advantage
with 4.125%. Even with a higher rate of 5.625%
Jumbo Advantage won’t work here:
DTI is over 43%
Choose HBP- Interest Only
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RATE: 5.625%
Monthly Payment: $4687.50
DTI: 50.6%
$159 Savings with HBP- I/O over Jumbo Advantage
with 4.125%. Even with a higher rate of 5.625%
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TPO
Non-QM Overview
Non QM rate adder
I/O Adder
1.25%
0.250%
Annual Income
350,000
Loan Amount
1,200,000
Monthly T&I
1,800
Other debts % of Income
18%
Jumbo Advantage won’t work here:
DTI is over 43%
Choose HBP- Interest Only
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RATE: 5.625%
Monthly Payment: $5625
DTI: 47.9%
$190.80 Savings with HBP- I/O over Jumbo Advantage
with 4.125%. Even with a higher rate of 5.625%
All loans are subject to credit and property approval. Programs,
rates, terms and conditions are subject to change without notice.
Other restrictions apply. New Penn Financial NMLS# 3013. Equal
Housing Lender. ©2014 New Penn Financial, LLC. All rights
reserved.
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