Self-Employment and Non Qualified Mortgages (non-QM) are for your non traditional borrowers. Borrowers in New Jersey usually qualifies using Tax Returns (if self employed), Bank Statements, Assets, or other alternative documentation. Because these loans do not require W2 income or paystubs, they are not backed by the government nor Fannie Mae nor Freddie Mac, and therefore are deemed more risky. 

With the increase of risk to the lender, these loans usually have higher interest rates, higher down payment requirements, and higher loan costs.

These types of loans were made to extend lending to those who may not qualify under the traditional income guidelines such as business owners, entrepreneurs, freelancers, contracted workers, investors and some gig economy workers.