What Is an Asset-Based Loan?
Asset-based loans or asset utilization loans use your assets as income to qualify for a mortgage. Unlike a traditional mortgage, asset-based lending involves leveraging your verifiable qualified assets to qualify for a home loan.
Borrowers who apply for Georgia asset-based loans can use different types assets based on the amount they want to borrow. Borrower’s using assets to qualify for a mortgage can use bank accounts, brokerage accounts, vested retirement accounts, and cryptocurrency.
Asset-based lending in Georgia can be used to purchase a home or invest in a rental property. Overall, it can be a great solution for those who don’t want to navigate the application process involved with a traditional home loan.
How Does Asset-Based Lending in Georgia Work?
Georgia asset-based loans allow you to get value out of the things you already own. For asset-based lending in Atlanta and throughout Georgia, the process is as follows:
- The borrower applies for the loan and uses an asset or multiple assets to qualify.
- The lender does not hold the asset or relevant deed or title. (Assets do not have to be pledged).
- The lender uses a risk-based formula to convert your qualified assets into income to show that you have the means to pay your monthly mortgage. (Your assets remain in your accounts and continue to work for you).
- The loan terms, such as monthly payments and total amount, are up to the lender. They are usually based on the needs of the borrower and the value of the assets.
When applying for asset-based loans in Georgia, you need the most recent ownership documents/statements showing the balances of the assets you plan to utilize. This type of loan has flexible credit score requirements and doesn’t require traditional income verification methods. However, the lender may ask for additional items during the approval process.
Benefits of Asset-Based Loans
With asset-based lending in Georgia, you can access financing without going through the traditional mortgage application process. Below are just some of the benefits of taking out an asset-based loan in Georgia:
- You can qualify for a mortgage using assets instead of income.
- You can access up to $3 million in financing depending on the asset you wish to utilize.
- You can use many different types of assets you can use to qualify.
- Approval depends on your assets, not your income level.
- You can get loans for a second home or investment properties.
- You can increase cash flow and get more flexibility in spending.
- Asset-based loans can help you improve a poor credit score if you pay off the balance on time.
Anyone with enough assets can apply for this type of funding. Because of the limited income-based requirements and the limited influence of credit scores on the application process, these loans can be ideal for retirees, small business owners, independent contractors with fluctuating revenue, and those who recently went through bankruptcy.
How to Get an Asset-Based Loan in Georgia
Griffin Funding offers asset-based loans throughout Georgia. There are specific steps you must take if you are interested in applying for this type of loan. These are the basic steps one needs to take to get an asset-based loan in Georgia through Griffin Funding:
- You can start the process by reaching out to a Griffin Funding mortgage strategist. They can help you decide if asset-based lending is the best option for you and offer advice on the application process.
- Griffin Funding customers can begin the loan application online.
- During the application, you will identify the assets you wish to utilize.
- You must provide documentation for the assets.
- After you complete the application and send in supporting documents, the lender reviews your application and approves it if they determine you qualify.
- The final step is to sign the loan agreement in the presence of a notary.
Areas We Serve
Griffin Funding offers asset-based loans across the state of Georgia. From asset-based lending in Atlanta to asset- based loans in Savannah, we can help you no matter where you reside in the state. Here is a look at just some of the areas we serve:
- Johns Creek
- Peachtree City
- Sandy Springs
- South Fulton
- Warner Robins
- Flowery Branch
Other Non-QM Loans From Griffin Funding
A Non-Qualified Mortgage loan (Non-QM loan) offers an alternative avenue to traditional home loans. These loans are ideal for people who do not want to go through the usual mortgage application process, whether it’s because they fail to qualify or they prefer a more streamlined financing product.
Who seeks out Non-QM loans? These options appeal to a variety of people, including property investors with real estate, retirees, business owners, freelancers and contractors, and those with a poor credit history or previous bankruptcies.
In addition to offering asset-based loans, Griffin’s Non-QM options include the following:
- Bank statement loans: Bank statement loans in Georgia for the self-employed rely on bank statements as an income verification method.
- DSCR loans: DSCR loans in Georgia allow borrowers to qualify for financing based on the cash flow of existing rental or investment properties.
- Jumbo loans: Jumbo loans are typically used for properties that are too expensive for traditional mortgages or jumbo loans that big banks won’t approve
Griffin Funding also offers VA home loans to qualifying Georgia residents. VA home loans in Georgia offer favorable interest rates and waive down payment requirements for active duty service members and military veterans.
Apply for an Asset-Based Loan in Georgia
At Griffin Funding, we understand that everyone has a unique financial situation. Traditional mortgages do not work for many people. So, if you face hurdles in navigating the traditional mortgage application process, consider taking out an asset-based loan in Georgia or check out any of the other Non-QM options we have available.
If you are looking for mortgage lenders in Georgia that offer asset-based loans or other Non-QM financing options, Griffin Funding can offer you many different choices. If you would like to explore financing options, contact us today or request a quote.