Qualified Mortgage
A Qualified Mortgage (QM) is a loan meeting CFPB standards designed to ensure the borrower can repay, giving lenders legal protection.
What Qualified Mortgage means
QM rules cap points and fees, bar risky features like negative amortization and balloon payments, and generally limit DTI. Loans outside these rules are non-QM.
Florida example
A Florida borrower with standard W-2 income and a sub-43% DTI typically gets a QM loan. A self-employed buyer using bank statements falls into non-QM, which is fully legal but outside the QM safe harbor.
What it means
A qualified mortgage meets federal rules meant to keep loans safe and affordable. It bars risky features like negative amortization.
Lenders must confirm you can truly repay before making one.
Why it matters
A qualified mortgage gives you added protection and stable terms. Loans outside these rules are called non-QM.
We help you understand both types and pick the right fit. Apply now and we will guide your choice.
Related program: Learn more →
Verify the details for your own situation against these government and agency sources: CFPB Owning a Home guide and HUD homebuyer resources.