New Initiative Allows Airbnb Hosts to Refinance their Primary
Residence and Apply Rental Income Toward Qualification Requirements
SAN DIEGO–(BUSINESS WIRE)–#Airbnb—Guild
Mortgage, one of the largest and most experienced independent
mortgage lenders in the U.S., has launched a new
mortgage option in partnership with Airbnb
that considers short-term rental income from Airbnb as an acceptable
source of qualifying income on refinance applications for owner-occupied
primary residences.
Guild’s refinancing option is available to all U.S. hosts who own their
home, list their primary residence on Airbnb and are interested in
refinancing their mortgage. The property can include up to four units or
be located in a planned unit development. The host’s existing mortgage
does not need to be with Guild.
Available to qualifying borrowers in all states in which Guild provides
mortgage financing, the refinancing option offers loans with up to 97%
loan-to-value ratios for rate and term refinances, and up to 80%
loan-to-value ratios for cash-out refinances. A minimum credit score of
620 and debt-to-income ratio of no more than 50 percent are required to
qualify.
“At Guild, we’re always working to offer niche mortgage programs and
initiatives that serve more homebuyers and current homeowners,” said Mary
Ann McGarry, president and CEO. “We are honored to be one of the
lenders selected to partner with Airbnb to help customers use their
short-term rental income to qualify for a refinance.”
To apply, customers must document proof of their Airbnb rental income by
providing two years of their personal tax returns, including Schedule E.
They must also provide an Airbnb income statement that demonstrates a
minimum two-year history of receiving short-term rental income from the
borrower’s principal residence or, if less than 24 months but greater
than 12 months of stable history of short-term rental income, a
percentage of the rental income may be used for qualification.
Erin Watts, Guild’s vice president of product strategy, said the
initiative will provide more options to those who offer short-term
rentals on their properties.
“As more people rent part of their home through partners like Airbnb,
it’s important that lenders are proactive in recognizing this type of
income,” she said. “We’re looking forward to opening more doors to
Airbnb hosts who are interested in refinancing their mortgage. With
lower rates driving an increase in refinances, there should be strong
interest.”
For more information, visit https://www.guildmortgage.com/airbnb-refinance/.
A top-10 national lender by purchase loan volume, Guild specializes in
developing unique pilot programs and niche products to help deliver the
promise of home in every neighborhood and community it serves. Its loan
professionals can serve the needs of any homebuyer, from helping
first-time buyers achieve homeownership, often through government loan
programs, to homebuyers looking to upgrade with a jumbo loan. Guild also
specializes in helping active duty and retired military personnel to
secure VA loans, with 100 percent financing and flexible qualifying
standards. The company is consistently recognized for its impact in the
communities it serves, commitment to customer service, strength in
regulatory compliance and workplace culture.
About Guild Mortgage
Founded in 1960 when the modern U.S. mortgage industry was just forming, Guild
Mortgage Company is a nationally recognized independent
mortgage lender offering pilot and niche residential mortgage products
and local in-house processing, underwriting and funding. Its collegial
and entrepreneurial culture enables it to deliver unsurpassed levels of
customer service. Having been through every economic cycle, the company
has grown 15-fold since 2007, and now has close to 4,000 employees and
205 retail branches in 33 states. Guild’s highly trained loan
professionals are experienced in government-sponsored programs such as
FHA, VA, USDA, down payment assistance programs and other specialized
loan programs. The company generated $16.53 billion in loan volume in
2018, as compared to $1.23 billion in 2007. In addition, Guild services
more than 220,000 loans, which totaled $46.53 billion as of December 31,
2018. It has correspondent banking relationships with credit unions and
community banks in 43 states and services loans in 47 states.
Contacts
Media Contacts at Nuffer, Smith, Tucker Public
Relations (619-296-0605)
Ryan Hall
[email protected]
Cell:
949-280-4704
