If you want the cheapest mortgage rate, you must meet certain underwriting standards from mortgage giants Fannie Mae or Freddie Mac.

For example, you must prove your stable income with W2s, tax returns and the like.

You must also show your total house payment plus certain monthly recurring debts don’t exceed a certain percentage of your gross income (before taxes).

Fannie and Freddie don’t make mortgages. Rather, they purchase closed loans from mortgage lenders. Because of the explicit U.S. government guarantee, they can offer the cheapest money.

If you don’t fit the F&F conventional box, there is an alternative, exotic loan avenue, the so-called non-QM or non-qualified mortgage channel that just might get you home.

Lenders in the exotic mortgage space consider alternative income docu

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