About Expanded Loans

In 2010, the U.S. government implemented the Dodd-Frank Act which, in January of 2014, incorporated rules to differentiate between “qualifying” and “non-qualifying” mortgages, each of which had differing standards. Non-Qualifying Mortgages have non-conventional features that may provide a solution for borrowers with less-than-perfect credit. For these borrowers, Cardinal Financial offers our own take on the Non-Qualifying Mortgage—the Expanded loan.

Cardinal Financial’s Expanded loans are the perfect solution for borrowers in less-than-ideal economic situations. Homeowners who have experienced derogatory credit events and other major economic challenges may be eligible for these loans. Cardinal Financial’s Expanded loans are also available for non-warrantable condominiums in certain metro areas across the country. Self-employed borrowers also take advantage of Cardinal Financial’s Expanded loans because we do not require tax return forms and we allow alternative income documentation as part of the qualification process.

Why get an Expanded loan?

  • Derogatory credit may still qualify*
  • Credit scores as low as 560 may be eligible
  • Tax returns may not be required
  • For some borrowers, 24 months of bank statements may be used as qualifying income
  • Available for purchase and refinance
Bankruptcy Short Sale/Dil Foreclosure
Cardinal Financial 2 YR After Discharge Date 1 YR After Completion Date 3 YR After Completion Date
Conventional Loan 4 YR After Discharge Date 4 YR After Completion Date 7 YR After Completion Date
Government Loan 2 YR After Discharge Date 1-3 YR After Completion Date 3 YR After Completion Date
Bankruptcy
Cardinal Financial 2 YR After Discharge Date
Conventional Loan 4 YR After Discharge Date
Government Loan 2 YR After Discharge Date
Short Sale/Dil
Cardinal Financial 1 YR After Completion Date
Conventional Loan 4 YR After Completion Date
Government Loan 1-3 YR After Completion Date
Foreclosure
Cardinal Financial 3 YR After Completion Date
Conventional Loan 7 YR After Completion Date
Government Loan 3 YR After Completion Date

* The above tables gives details regarding traditionl loan rquirements for borrowers who have experienced bankruptcy, short sale, deed in lieu of foreclosure, or foreclosure.