Seasoned Funds: Earned Income, Or In Bank Over Two Months

JVM Lending had another record month in March! This is a quick and emphatic “Thank You” to all of our wonderful partners who helped us achieve our goal.

Jumbo and many High Balance (over $417,000) Loans require at least 5% of the purchase price to come from a borrower’s own “seasoned” funds.

Seasoned funds are any funds that cannot be traced back to a large deposit. If we have two full bank statements with no large deposits on them, all funds will be seasoned.

Hence, if a borrower puts $100,000 of mattress-money in his account in April, by July the money should be seasoned b/c we can get May and June statements with no large deposits.

“Earned Income” is also considered “seasoned” no matter how recently it was received. If borrowers need more seasoned funds, they can live on “gift funds” and save their current earned income as “seasoned funds.” A $50,000 bonus received today is considered “seasoned.”

Jay Voorhees
Founder/Broker | JVM Lending
(855) 855-4491 | DRE# 01524255, NMLS# 335646