Which Mortgage is Your Best Match?

There are many different loan programs available, and each one is specifically designed for various types of borrowers. When you work with American Bay Funding, we consider your specific homebuying or refinancing scenario to find the financing that best fits your needs. 

Below is a sample of the loan products we offer. However, there is no substitute for a quick conversation with one of our expert lenders, who can assess your situation and match you with the mortgage that makes the most sense.

Loan Programs

Conventional Loans

Fixed or adjustable rates

Down payment as low as 3% for primary home

Primary, second, and investment property options

FHA Loans

3.5% minimum down payment required for home purchase

Minimum credit score is 500

Higher allowable debt to income ratio than other loan types.

VA Loans

Competitive interest rates that are routinely lower than conventional loans

Down payment as low as 0%

Higher allowable debt-to-income ratio than other loan types

Sellers can pay up to 6% of closing costs and other concessions other loan types

Jumbo Loans

Loan amounts up to $5,000,000

Fixed or adjustable rates

Primary, second, and investment property options

Down Payment Assistance Programs

Available to qualified first-time homebuyers

May obtain to 3.5% from local programs towards down payment and closing costs

For primary, single-family residences only

Bank Statement Loans

LTVs up to 90%

FICOs down to 580

DTI up to 50%

Loan amounts from $150,000 to $3,000,000

Interest-only available

Cash-out options

12-month and 24-month alternative documentation for self-employed borrowers

Stated Income Debt Service Loans

Also known as DSCR Loans

Qualification based on the gross rents or rental surveys

Interest only and fully amortized terms available

Can vest in the name of the Corporation and LLC

Reverse Mortgages

For eligible homeowners aged 62 and older

Allows homeowners to use the equity in their home and convert it into payments received, instead of the borrower making payments to the lender

The money received is usually is tax-free and doesn’t have to be paid back for as long as the owner lives in the home

Non-Warrantable Condo/Porfolio Loans

Loans to buy a non-warrantable condo, which are harder to obtain financing for as they are not backed by Fannie Mae and Freddie Mac

Lenders do not sell this loan to third parties and instead, hold on their books

Since lenders take on all the risk, they have more stringent underwriting criteria and may carry higher interest rates than conventional loans

Our Loan Process

We Have A Chat

We’ll meet and have a discussion. A loan officer will consult with you on your credit, manage expectations, and go over in detail what your available financing options are based on your situation and needs. We’ll then help you pick your perfect match loan, including the loan program and interest rate that is ideal for your family.

Apply For Loan

We move full speed ahead with your application, which includes gathering as much information as possible upfront. We’ll then inform you if additional documents are needed, including tax returns, pay stubs, bank statements, and employment history.

Appraisal & Underwriting Submission

After we receive the requested documents, we’ll promptly order an appraisal, title insurance, tax transcripts, verify your employment, and gather other documents needed for closing. One of our loan processors reviews the paperwork to “pre-underwrite” your loan, then it’s submitted for underwriting. Our underwriters rapidly, but thoroughly, access your loan to have it released within hours.

Conditional Approval & Loan Commitment

This is the step when you can breathe a sigh of relief. Your loan has been approved, but it comes with conditions that must be met before it can close. You’ll receive your loan commitment subject to these conditions, which your loan officer will work with you to address and resolve.

Outstanding Documents Submitted For Closing

We’ll gather your additional documents noted in the conditional approval, as well as the third-party paperwork we ordered on your behalf. We then submit it all to the underwriter for “clear to close” on your loan.

Underwriting Sign off

The underwriter reviews your loan, affirms that all conditions have been met, and signs off on approval. Now your loan is officially ready to close!


Congratulations! You’re about to become a homeowner. We’ll schedule your closing, work with escrow and title to assemble the final paperwork, and confirm the total funds needed at escrow. The last step is receiving the keys to your new home!