First National Conventional Stated Income

First National rolled out a conventional stated income mortgage last week. It was a soft launch intended to “assess (the) market opportunity,” said a company representative.

The product is aimed at self-employed or contract workers, with good credit and a minimum 3-year credit history.

The product comes in two flavours: 

• Conventional 65:  For purchases, refinances and ports, with a 650 minimum beacon, and 65% LTV up to $750,000 (50% thereafter).
• Conventional 75:  For purchases and ports, with a 720 minimum beacon, and 75% LTV up to $750,000 (50% thereafter).

Other details of note:

• Property Type:  Owner occupied with 1-4 units
• Maximum loan amount:  $1 million
• Term:  1-5, 7 and 10-year fixed and 5-year variable
• Rate hold:  120 days
• GDS/TDS:  32% / 40%
• Down payment:  From own resources; no gifts

The Conventional 65/75 mortgage is available on a trial-run basis for now, and only through approved First National brokers.

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About First National:  First National is the largest non-bank provider of single family residential mortgages in Canada. It currently administers roughly $49 billion of residential and commercial mortgages.