Utah lenders still are offering stated income, hard money and other unique loan options. The need for a variety of loan options is necessary to help out property owners and with the recent tightening of underwriting guidelines it is becoming tougher to find money to borrow. There are plenty of low risk loans that are unable to get funding through the traditional methods. Including Hard Money and Private Investors.
Through traditional lending if you fall outside the “underwriting guidelines” you will be declined regardless of the risk to the lender. For example is you are going to take a year off of work to write a book or work on a major project and cannot show a regular income you will be declined. That’s even if you have 50% equity in the property, millions in stocks or in the bank, superior credit and only want to refinance to lower the interest rate. Sounds silly, however the golden book of “underwriting guidelines” can not address everyone’s unique situations so if you are outside the parameters a decline is easier than making an exception.
There is hope still for you getting that needed loan. There are options from private investors with hard money that will look at the risk of the transaction rather than following some “unbendable” rules. This will enable you leverage that property with a loan. Many find that even with the expense of a hard money loan it is still cheaper than the alternative which might include a joint venture or not getting the money at all.