No Income, No Employment Loan in Delaware: The My Community Mortgage
Quick answer: The My Community Mortgage is John Thomas’s No Income, No Employment Loan in Delaware – an asset-based home loan that may let eligible Delaware borrowers qualify using credit, a down payment of at least 20%, and verified assets instead of income. No income documents, no employment verification, and no debt-to-income ratio. Primary residence only; not available for investment property. Current as of June 2026.
My Community Mortgage at a glance:
| Feature | Detail (as of June 2026) |
|---|---|
| State availability | Delaware and 13 other states where John is licensed (not MD, DC, ME, NV, PA, WA, WV, NY) |
| Occupancy | Primary residence only |
| Income documents | Not required |
| Employment verification | Not required |
| DTI ratio | Not calculated |
| Minimum down payment | 20% |
| Minimum credit score | 640 FICO |
| Reserves | 6-9 months PITIA |
| Investment property | Not eligible |
Snapshot only – figures reflect current program guidelines and can change; your exact tier and requirements depend on the matrix in effect when you lock.
I am John Thomas, NMLS #38783, and I have spent more than 20 years helping Delaware buyers find financing that fits their real financial picture – not just the picture their tax returns paint. The My Community Mortgage – my No Income, No Employment Loan – is one of the most useful tools I offer for that gap. If you have strong credit and real assets but your documented income does not tell the whole story, this program may let you qualify on what you actually have rather than what a W-2 says. Many of the buyers I see for the My Community Mortgage first looked at a Delaware self-employed mortgage or a bank statement loan and ran into a wall – this page walks through how the My Community Mortgage is different, who it fits, and how qualifying actually works.
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Table of Contents
What Is a No Income, No Employment Loan?
The My Community Mortgage is a No Income, No Employment Loan – a Non-QM (non-qualified mortgage) program that may allow eligible Delaware borrowers to qualify without income documents, employment verification, or a debt-to-income (DTI) ratio. Across the industry this kind of financing goes by several names: a no-doc or no-ratio mortgage, a no income verification loan, or an asset-based / asset-qualifier loan. They all describe the same idea – because the underwriter is not looking at your income, there is no ratio of debt to income to calculate. Instead, the loan is underwritten on three pillars: your credit profile, the size of your down payment, and the assets you can verify in reserve.
This is not a pre-2008 “stated income” loan where a borrower could simply assert an income and skip verification. The My Community Mortgage replaces income verification with real, documented strength – a 640-or-higher credit score, at least 20% down, and verified assets held in reserve – so the file still has to stand on its own. It is a documented asset-and-credit decision, not a no-questions-asked one.
Conventional, FHA, VA, and USDA loans are “qualified mortgages” under federal rules, which means the lender must document that you can repay – typically through pay stubs, W-2s, tax returns, or, for self-employed borrowers, two years of returns or bank statements. The My Community Mortgage takes a different but well-established path. Certain community-development and specially structured mortgage programs – including those offered through Community Development Financial Institutions (CDFIs), which are certified by the U.S. Treasury – may be exempt from the standard ability-to-repay (ATR) documentation rules, as the Consumer Financial Protection Bureau explains. That exemption does not mean approval is automatic – eligibility still depends on credit, assets, down payment, property type, and current program guidelines. What it does mean is that the file can skip income documentation and lean on assets and credit, which makes for a clean, fast process for the right borrower – no tax returns, no profit-and-loss statements, no explaining a slow quarter.
One thing to be clear about up front: this is a primary residence program. It is built for the home you live in, not for rental or investment property. If you are buying an investment property and want to qualify on the property’s rental income instead of your own, that is a different tool – a Delaware DSCR loan – and I am happy to point you there.
Who the No Income, No Employment Loan Is For
This program tends to fit buyers whose documented income understates their true financial strength. In my experience the most common profiles are:
- Self-employed owners and business owners who write off heavily, so their net taxable income looks low even though cash flow is strong.
- Buyers in transition – for example, someone who just left a high-paying W-2 job to go self-employed. A bank statement loan can fail here because the deposit history dips during the switch, even when assets and credit are excellent.
- Retirees living on savings and investments rather than a paycheck, who have substantial assets but little “income” on paper.
- High-net-worth buyers with significant verifiable assets who simply prefer not to paper a file with returns and statements.
A real-world example
A New Castle County buyer I worked with had a high credit score, solid assets, and more than 20% to put down – but had recently moved from a high-paying salaried role into self-employment. The bank statement option fell apart because the deposits dipped during the transition, even though nothing about their actual financial strength had changed. The My Community Mortgage allowed the file to be reviewed based on credit, down payment, and reserves instead of traditional income documentation. That gap – strong buyer, weak-looking income paper – is exactly what this program is built for.
How You Qualify Without Income or Employment
Because there is no income on the file, the three pillars below carry the approval. The specific tier you land in depends on how they combine – generally, a larger down payment and higher credit score unlock a higher loan-to-value (LTV) and lower reserve requirement.
- Credit. A minimum 640 FICO is generally required. You also need a qualifying credit history – typically at least two tradelines reporting for 12 or more months, or one tradeline open 24 or more months with recent activity (at least one borrower must meet this). First-time buyers may use a 12-month verification of rent toward the tradeline requirement.
- Down payment. Plan on at least 20% down. The program tops out at 80% LTV, and the highest LTV tiers require the strongest credit and the most reserves.
- Assets and reserves. Reserves are measured in months of full housing payment (PITIA). The number of months required scales with your tier – more on what counts in the reserves section below.
What you will not provide: pay stubs, W-2s, tax returns, profit-and-loss statements, bank statements used to calculate income, or any employment verification. There is no DTI calculation. The qualifying rate is the note rate, and the loan is a 30-year fixed.
Skipping income documentation can also shorten the timeline. Because there are no tax transcripts to order (the 4506-C request), no employment to verify, and no income to recalculate, the underwriter has fewer moving parts to chase – which often means a faster, smoother path to closing for a well-prepared file.
A quick Delaware example of the down-payment math: on a $500,000 primary residence at the 80% tier, a 20% down payment is $100,000 before closing costs, plus the required reserves based on your monthly housing payment. A larger down payment moves you into a lower-LTV tier, which can ease the credit-score and reserve requirements.
Requirements at a Glance
| Feature | Detail (current guidelines, as of June 2026) |
|---|---|
| Income documentation | None – no income docs, no employment verification, no DTI |
| Occupancy | Primary residence only (investment property ineligible) |
| Loan structure | 30-year fixed only (no ARM, no interest-only) |
| Minimum credit score | 640 FICO |
| Maximum LTV / CLTV | Up to 80% (highest tier requires strongest credit + reserves) |
| Loan amount range | $100,000 minimum to $2,500,000 maximum |
| Loans above $1,000,000 | Capped at 80% LTV/CLTV; loans above $2,000,000 require two appraisals |
| Cash-out | Available; no stated cap on cash-out amount within program limits |
| Prepayment penalty | None |
| Down payment gifts | Allowed from immediate family for down payment and closing costs (not for reserves; no gifts of equity) |
| Seller concessions | Up to 6% |
| Homebuyer education | Required on all transactions |
| State availability | Delaware and most states where John Thomas is licensed; not offered in MD, DC, ME, NV, PA, WA, WV, or NY (see FAQ) |
These figures reflect current program guidelines and can change. The exact tier, score floor, and reserve requirement that apply to your file depend on the matrix in effect when you lock – so treat this table as a planning guide and let me confirm the live numbers for your scenario.
LTV, Credit Score, and Reserve Tiers
The program uses a tier grid that ties your maximum LTV to a minimum credit score and a minimum number of months of reserves. Reserves are counted in months of PITIA (principal, interest, taxes, insurance, and any association dues). Purchase and rate-and-term refinances use one grid; cash-out refinances use a slightly more conservative one.
Purchase and Rate-and-Term (Primary Residence)
| Max LTV / CLTV | Min FICO | Min reserves |
|---|---|---|
| 80% / 80% | 720 | 9 months |
| 75% / 75% | 680 | 6 months |
| 70% / 70% | 660 | 6 months |
| 65% / 65% | 640 | 6 months |
Cash-Out Refinance (Primary Residence)
| Max LTV / CLTV | Min FICO | Min reserves |
|---|---|---|
| 75% / 75% | 700 | 9 months |
| 70% / 70% | 680 | 6 months |
| 65% / 65% | 660 | 6 months |
| 60% / 60% | 640 | 6 months |
A few notes that affect which row you land in: a declining-market appraisal reduces the maximum LTV by 5%, loans above $1,000,000 are capped at 80% LTV, and additional financed properties add to the reserve requirement (see below). These grids reflect current guidelines as of June 2026 and are subject to change – I will confirm the exact tier for your file.
What this means for you: if you want to finance the maximum 80% of the price (the smallest down payment this program allows), expect to need the strongest credit – around a 720 score – and about nine months of reserves. If your score is closer to 640, you can still qualify, but you should plan on a larger down payment and a lower LTV tier. In short, more down payment and higher credit each pull the other requirements in your favor. Current as of June 2026.
What Counts Toward Your Assets and Reserves
Since assets do the heavy lifting on this loan, it helps to know what the program will and will not count. One month of reserves equals one full monthly housing payment (PITIA).
- Fully counted (100%): stocks, bonds, mutual funds, and retirement accounts such as 401(k), IRA, and deferred compensation.
- Business funds: counted in proportion to your ownership percentage in the business.
- Cryptocurrency: acceptable once it has been liquidated to U.S. dollars.
- Cash-out proceeds: can be applied toward reserves when the LTV is 70% or lower.
- Foreign accounts: funds must be moved to a U.S. bank and seasoned for 30 days before they count.
Two limits to keep in mind: gift funds cannot be used for reserves (they are fine for down payment and closing costs from immediate family), and if you own additional financed properties, the program adds reserves equal to roughly 1.5% of the aggregate unpaid balance on those properties. Most assets need to be sourced and seasoned for 30 days. The maximum number of financed properties, including the home you are buying, is 10.
A simple way to estimate reserves: take your full monthly housing payment (PITIA) and multiply it by the number of months your tier requires. For example, if your PITIA works out to $3,000 a month, six months of reserves is $18,000 and nine months is $27,000. Those funds stay in your accounts as reserves – they are not paid at closing.
Eligible Properties and Loan Amounts
Loan amounts run from $100,000 to $2,500,000. Because the program is for your primary residence, the eligible property types center on homes people actually live in:
- Eligible: single-family homes, PUDs, detached condos (up to 75% LTV), warrantable and attached condos (up to 70% LTV), non-warrantable condos (up to 50% LTV), 2-4 unit owner-occupied properties, modular homes, and rural properties.
- Not eligible: manufactured and mobile homes, log homes, investment properties, condotels, co-ops, commercial property, lots over 20 acres, and Florida condos in projects 20-plus years old.
If you are buying a manufactured or mobile home, that is a different program – take a look at our Delaware FHA loan options or call me and we will match you to the right one.
No Income, No Employment Loan vs Bank Statement and Conventional
The three programs below all serve buyers whose income is more complicated than a single W-2, but they qualify you in very different ways. This comparison is the fastest way to see where the My Community Mortgage fits.
| My Community Mortgage (No Income, No Employment) | Bank Statement Loan | Conventional | |
|---|---|---|---|
| Income documentation | None | 12-24 months of bank statements | Pay stubs, W-2s, or 2 years of tax returns |
| DTI ratio | Not calculated | Calculated from deposits | Calculated, with limits |
| Qualifies on | Credit, down payment, assets | Deposit-based income, credit | Documented income, credit |
| Typical minimum down | 20% | Varies (often 10-20%) | As low as 3-5% |
| Minimum credit | 640 | Varies by lender | Often 620+ |
| Best for | Strong assets, income that looks weak on paper, or buyers in transition | Self-employed with steady deposits | W-2 buyers with clean, documentable income |
| Occupancy | Primary residence only | Often primary or investment | Primary, second home, or investment |
If your deposits tell a clean story, a bank statement loan may cost you less. If your income is genuinely documentable, a Delaware conventional loan is usually the cheapest path. The My Community Mortgage earns its place when neither of those works – when the income paper does not match the buyer. For a deeper look at how lenders normally weigh income against debt, see our guide to your debt-to-income ratio – and notice that this loan removes that calculation entirely.
Rates, Costs, and Tradeoffs of a No Income, No Employment Loan
It would not be honest to talk about the flexibility of this loan without being just as clear about the tradeoffs. Because the lender is taking on more risk by not verifying income, a My Community Mortgage typically carries a higher interest rate than a comparable conventional loan would for the same borrower, and it asks for a larger down payment and more cash in reserve. I do not quote specific rates on a web page – rates change daily and depend on your full profile – but you should go in expecting to pay something for the convenience and flexibility, and we will talk through exactly what that looks like for your scenario when we speak.
So when does paying that premium make sense? When the alternative is not qualifying at all, or having to wait two years to re-document income after a job change or a move into self-employment. For a buyer with strong assets and credit whose paperwork simply does not reflect their real ability to pay, the My Community Mortgage can be the difference between buying now and sitting on the sidelines. For a buyer who can document income cleanly, a conventional loan will almost always be cheaper – which is exactly why I will tell you when that is the better path.
When This Loan Is Not the Right Fit
Be honest with yourself about these scenarios – in each one, a different loan will usually serve you better:
- You can document your income cleanly. If you have W-2s or tax returns that support the payment, a conventional or government loan will almost always come with a lower rate and a smaller down payment.
- You are buying an investment property. This program is primary-residence only. A DSCR loan, which qualifies on the property’s rental income, is the right tool there.
- You have less than 20% to put down. The program tops out at 80% LTV, so it is not built for low-down-payment buyers – an FHA loan may fit better.
- Your credit is below 640 or your housing history is shaky. The program needs a 640 floor and a clean recent mortgage history; if you are rebuilding, a Fresh Start path may be a better first step.
- Your strength is income, not assets. If you do not have meaningful reserves, the asset-based structure has nothing to lean on.
How to Apply for a No Income, No Employment Loan in Delaware
The application is refreshingly light, because there is no income to document. Here is how it usually goes:
- A quick conversation. We talk through your credit, your down payment, the property, and the assets you can verify. That is enough for me to tell you whether the My Community Mortgage fits and which tier you are likely to land in.
- Credit and asset verification. We pull credit and review your asset statements. No tax returns, no pay stubs, no bank statements for income.
- Homebuyer education. The program requires a homebuyer education or counseling course on every transaction – I will point you to an approved option.
- Appraisal and underwriting. The property is appraised (two appraisals on loans above $2,000,000), and underwriting confirms credit, down payment, reserves, and property eligibility.
- Close. A 30-year fixed loan with no prepayment penalty.
Even with no income to document, a few items still come together to close the file. Plan to have ready:
- Photo ID
- Credit authorization
- Asset statements (bank, brokerage, and retirement accounts)
- The purchase contract
- A homeowners insurance quote
- The appraisal (we order it)
- Your homebuyer education certificate
- A gift letter, if you are using gift funds for the down payment or closing costs
I help primary-residence buyers with this program across Delaware – from Newark buyers using asset-based financing and Wilmington buyers with strong assets but complicated income to Middletown buyers in a career transition. John helps Delaware primary-residence buyers review this program across New Castle County, Kent County, and Sussex County. The My Community Mortgage is also available in most other states where John is licensed, though several – including Maryland – are excluded (see the FAQ for the full list); call to confirm your state.
If you are weighing this against other options, our 1099 mortgage, No-Ratio DSCR loan, and self-employed mortgage pages cover related paths, and the five factors of credit scoring and understanding your mortgage payment guides are good background reading. Buyers over 62 sitting on home equity may also want to compare a reverse mortgage. First-time buyers can start with our Delaware first-time home buyer guide. When you are ready, the fastest next step is a phone call.
Ready to see whether your credit, down payment, assets, and property fit the current guidelines?
Call John Thomas directly. If the My Community Mortgage is not the right fit, he will tell you which loan is.
About the Author: John R. Thomas
NMLS #38783 My Community Mortgage Specialist DSHA Approved Published Author
John R. Thomas is a Branch Manager and mortgage loan officer with Primary Residential Mortgage, Inc. in Newark, Delaware, with more than 20 years of experience and over 3,000 Delaware and Maryland families helped into homes. He specializes in matching buyers with complicated income pictures – self-employed owners, retirees, and high-net-worth buyers – to the right financing, including the My Community Mortgage, his No Income, No Employment Loan program.
A graduate of the University of Delaware (B.S., Physics Education) and Delaware State University (M.S., Curriculum and Instruction), John brings a teacher’s clarity to explaining how these programs actually work. He is the author of a published guide for Delaware first-time buyers and is licensed in 17 states (AL, DC, DE, FL, GA, IN, KS, MD, MN, MO, NC, NJ, OH, PA, SC, TN, VA). NMLS #38783.
John Thomas Team – Primary Residential Mortgage, Inc.
248 E Chestnut Hill Rd, Newark, DE 19713
Phone: 302-703-0727 | Schedule Appointment
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Frequently Asked Questions
Do I really not have to show any income for a No Income, No Employment Loan?
Correct – the My Community Mortgage requires no income documents, no employment verification, and no debt-to-income ratio. The loan is underwritten on your credit, your down payment, and your verified assets instead. You will not provide pay stubs, W-2s, tax returns, or profit-and-loss statements.
Is the No Income, No Employment Loan available outside Delaware?
Yes. As of June 2026 the My Community Mortgage is available in Delaware and most other states where John Thomas is licensed – DE, AL, FL, GA, IN, KS, MN, MO, NC, NJ, OH, SC, TN, and VA. It is not offered in Maryland, the District of Columbia, Maine, Nevada, Pennsylvania, Washington, West Virginia, or New York. If you are buying in one of those excluded states – including Maryland – call me at 302-703-0727 and we will look at the asset-based and self-employed options available there.
Can I use a No Income, No Employment Loan for an investment property?
No. This is a primary-residence program, so investment and rental properties are not eligible. If you want to qualify on a property’s rental income rather than your own income, a DSCR loan is the right tool, and I am glad to walk you through it.
What credit score and down payment do I need?
You generally need a minimum 640 FICO and at least 20% down. The strongest tier – up to 80% loan-to-value – typically requires a 720 score and 9 months of reserves, while lower tiers allow a 640 score with smaller LTV and 6 months of reserves. Your exact tier depends on the current matrix when you lock.
How much do I need in reserves?
Reserves are measured in months of full housing payment (PITIA). Depending on your tier you will usually need 6 to 9 months. Stocks, bonds, mutual funds, and retirement accounts count at 100%; business funds count by ownership percentage; and cryptocurrency counts once liquidated. Gift funds cannot be used for reserves.
How is this different from a bank statement loan?
A bank statement loan still calculates income – it just uses your deposits instead of tax returns. The No Income, No Employment Loan skips income entirely. That matters most for buyers in transition, such as someone who recently left a W-2 job for self-employment, whose deposits dip temporarily even though their assets and credit are strong.
What loan amounts are available?
Loan amounts range from $100,000 to $2,500,000. Loans above $1,000,000 are capped at 80% loan-to-value, and loans above $2,000,000 require two appraisals. Cash-out is available within program limits.
Can I use gift funds?
Yes, for the down payment and closing costs, from an immediate family member such as a parent, sibling, spouse, or child. Gift funds cannot be counted toward your required reserves, and gifts of equity are not permitted on this program.
What property types qualify?
Single-family homes, PUDs, condos (with LTV limits by condo type), 2-4 unit owner-occupied homes, modular homes, and rural properties are eligible. Manufactured and mobile homes, log homes, condotels, co-ops, commercial property, and investment properties are not eligible.
Is there a prepayment penalty?
No. The No Income, No Employment Loan is a 30-year fixed mortgage with no prepayment penalty, so you can pay it down or refinance later without a penalty.
Last Updated: June 2026. Mortgage content reviewed by John R. Thomas, NMLS #38783.
John Thomas, NMLS #38783 | Primary Residential Mortgage, Inc. | 248 E Chestnut Hill Rd, Newark, DE 19713 | 302-703-0727 | delawaremortgageloans.net
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