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Andy Garretson - Your Mortgage Guy, 20 Music Square W #100, Nashville, TN (2026)

09/01/2026

Ground Up Construction Loans: Finance Your Dream Home

What is a construction loan?

When looking to build a new home from the ground up, you can utilize a construction loan that can help you buy a property and finance the construction. This can also be used to build on an existing property that you own.

This is a bank portfolio product that is tailored to the timeline that it'll take for the completion of the home and only requires interest-only payments during construction. This "down payment" is a calculation of the equity of the finished home after construction. Therefore, if the land free and clear, that equity can be used toward this down payment requirement. Not only can you build a dream home for you and your family to live in, but this product is also eligible for second homes / vacation homes.

Once the home is fully built and the "certificate of occupancy" has been issued, the loan will be refinanced into a permanent mortgage with flexible terms, such as 30-year fixed, etc.

If you're considering building versus buying in today's market, a construction loan is worth exploring, especially with inventory still tight in many areas.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/31/2026

DSCR Loans: The Real Estate Investor's Secret Weapon

What is a DSCR loan?

A DSCR loan, short for Debt-Service Coverage Ratio, qualifies real estate investors based on the rental income a property generates, not their personal income or tax returns.

The formula is straightforward: gross monthly rental income divided by monthly PITIA, which includes principal, interest, taxes, insurance, and association dues. Most lenders look for a DSCR ratio of .75 to 1.25 or higher, meaning the property's income covers or exceeds its expenses.

Loan-to-value limits typically run up to 75 to 80%, and many lenders now consider short-term rental income from platforms like Airbnb or VRBO when calculating qualifying rent.

For investors, this changes everything. You're not slowed down by personal income documentation or debt-to-income ratios tied to your day job. The property qualifies on its own merits.

Real estate agents, here's a program worth knowing about: every week, I personally call and follow up with every active pre-approval in my pipeline, keeping deals moving and generating referrals back to the agents who sent those clients originally.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/28/2026

Non-Warrantable Condo Loans: Financing for Condos Traditional Lenders Turn Away

What is a non-warrantable condo loan?

A non-warrantable condo loan finances a condo unit that doesn't meet Fannie Mae or Freddie Mac's standard eligibility guidelines, and it's more common than most buyers realize.

A condo can become non-warrantable for several reasons: too high a percentage of units are investor-owned rather than owner-occupied, the HOA is involved in litigation, one owner holds too many units in the building, or the building has too much commercial space mixed in. None of these are red flags about the buyer, they're issues with the building itself.

Because conventional financing won't work here, these loans come through our portfolio and other Non-QM lenders instead, often with a slightly higher rate or larger down payment requirement, typically in the 15 to 25% range.

This matters most in condo-heavy markets, resort areas, and buildings that are newer or still transitioning from developer control. If a buyer falls in love with a condo and their loan officer says it's non-warrantable, that's not the end of the story. It just means a different lending path.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/27/2026

Non-QM Loans: Mortgage Solutions for Borrowers Who Don't Fit the Box

What is a Non-QM loan?

Non-QM stands for Non-Qualified Mortgage, meaning the loan doesn't meet the standard guidelines set by Fannie Mae and Freddie Mac, but that doesn't mean it's a lesser option.

Examples of Non-QM loans are:
1. DSCR loans (Investors)
2. Bank statement loans
3. Asset utilization loans
4. 1099-only loans
5. Short-term rental income loans

Non-QM loans serve borrowers with real, often strong financial profiles who simply don't fit the conventional box. Think self-employed borrowers, real estate investors, foreign nationals, high-net-worth individuals with complex income, or buyers with a recent credit event like a bankruptcy or foreclosure.

Because these loans fall outside conventional guidelines, they also aren't bound by the conforming loan limits and terms are set by the individual lender's own guidelines instead.

It's important to separate Non-QM from the old idea of subprime lending. These are sophisticated, well-underwritten products designed for creditworthy borrowers whose income or situation just looks different on paper than a typical W-2 employee.

As more people work for themselves, invest in real estate, or have nontraditional income, Non-QM has become a growing and increasingly important part of the mortgage market.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/26/2026

15-Year vs. 30-Year Mortgage: Which One Is Right for You?

Should you choose a 15-year or 30-year mortgage?

Both terms get you to homeownership, but they serve very different financial goals.

A 15-year mortgage typically carries a rate up to approx. 0.5% lower than a 30-year, and it builds equity much faster. The tradeoff is a higher monthly payment. 30-year mortgage spreads payments out, keeping your monthly cost lower and giving you more cash flow flexibility, though you'll pay significantly more interest over the life of the loan.

Run the numbers on total interest paid and the gap between the two terms can be eye-opening, often tens of thousands of dollars.

The right choice depends on your priorities. If cash flow and flexibility matter most right now, a 30-year often makes sense. If building equity and paying off your home faster is the goal, a 15-year could be worth the higher payment.

There's also a hybrid approach: take a 30-year loan but make extra payments as if it were a 15-year, giving you flexibility if your budget tightens.

Real estate agents, quick reminder: I send a weekly written status update on every active referral, so you'll always know where your client's loan stands without having to track me down.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/25/2026

Refinance Break-Even Analysis: The One Number You Must Know

How do you calculate a refinance break-even point?

Before committing to any refinance, there's one calculation you need to run: your break-even point.

Here's the formula: closing costs divided by monthly savings equals months to break even. So if your closing costs are $4,000 and you're saving $133 a month, that's 30 months, or two and a half years, before the refinance pays for itself.

If you plan to stay in your home longer than that break-even point, the refinance likely makes financial sense. If you're planning to sell or move before then, it may not be worth the upfront cost.

One more factor to weigh: whether to pay closing costs out of pocket or roll them into the new loan. Rolling them in means less cash needed at closing, but it also means paying interest on those costs over time.

Running this number before you commit is the single best way to know if a refinance actually benefits you.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/24/2026

FHA Streamline & VA IRRRL: The Fastest Path to a Lower Rate

What are FHA Streamline and VA IRRRL refinances?

If you already have an FHA or VA loan, these two programs may be the fastest, simplest way to lower your rate.

Both are built for speed. In many cases, there's no appraisal required and minimal documentation, sometimes without even verifying your income again. That's a major difference from a standard refinance.

There is a catch: you must already hold an FHA loan to qualify for a Streamline, or a VA loan to qualify for an IRRRL. You can't use these to switch loan types. Loan limits aren't really a factor here either way, since you're refinancing an existing balance rather than qualifying for a new maximum amount.

Lenders also require a net tangible benefit, meaning the refinance has to actually improve your financial position, whether through a lower rate, lower payment, or a move from an adjustable to a fixed rate.

For eligible borrowers, these programs cut through a lot of the usual refinance hassle, making a lower rate far more accessible than people expect.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/21/2026

HELOC: Your Home's Flexible Line of Credit

What is a HELOC?

A Home Equity Line of Credit, or HELOC, works a lot like a credit card, except it's secured by the equity in your home rather than being unsecured debt.

During the draw period, typically 5 to 10 years, you can borrow against your available credit line as needed and pay interest only on what you use. After that comes the repayment period, when you pay back both principal and interest.

Most HELOCs carry a variable interest rate that moves with the prime rate, so payments can fluctuate over time. Lenders generally allow combined loan-to-value up to 80%. Unlike a purchase or rate and term refinance, HELOCs aren't subject to the standard conforming loan limit since they're a separate line layered on top of your existing mortgage balance, though your total combined debt against the home still has to fit within that 80% LTV ceiling.

HELOCs work well for ongoing home improvement projects, emergency funds, or short-term borrowing needs where flexibility matters more than a fixed payment. That's the key difference from a cash-out refinance or home equity loan, which give you a lump sum instead of an open line.

Here's something my agent partners appreciate: every week, I personally call and follow up on every active pre-approval in my pipeline, keeping deals moving and generating referrals back to the agents who sent those clients.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/20/2026

Cash-Out Refinance: Unlock the Equity in Your Home
📅 Thursday, August 20, 2026

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What is a cash-out refinance?

A cash-out refinance replaces your current mortgage with a new, larger one, and you receive the difference in cash at closing, using the equity you've already built.

Lenders typically cap this at 80% loan-to-value for conventional loans, meaning the new loan amount, combined with what you owe, can't exceed 80% of your home's appraised value. If your new loan amount stays within the $832,450 conforming limit in Middle Tennessee, it can be financed as a standard conventional cash-out refinance; above that threshold, it would need to go the jumbo route instead.

Buyers use cash-out refinances for all kinds of goals: home improvements, consolidating higher-interest debt, funding college, or investing elsewhere. Because the loan amount is higher, the interest rate may run slightly higher than a standard rate and term refinance.

It's worth understanding how this differs from a HELOC. A cash-out refinance replaces your entire mortgage with one new loan and one new rate, while a HELOC adds a separate line of credit on top of your existing mortgage. Which makes sense depends on your goals, your current rate, and how you plan to use the funds.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

08/19/2026

Rate & Term Refinance: Is Now the Right Time to Lower Your Rate?

What is a rate and term refinance?

A rate and term refinance replaces your current mortgage with a new one, aimed at lowering your interest rate, shortening your loan term, or both, without taking cash out.

The decision usually comes down to one number: your break-even point. Take your closing costs and divide by your monthly savings. That tells you how many months it takes before the refinance actually starts saving you money. For example, $4,000 in closing costs divided by $150 in monthly savings equals roughly 27 months to break even.

If you plan to stay in the home past your break-even point, refinancing likely makes financial sense. If you're planning to move sooner, it may not be worth the upfront cost.

When rates drop, there's often a rush to refinance. Acting early can matter, both for locking in a good rate and for getting through the process before lenders get backed up.

Ready to explore your options? Reach out today for a free, no obligation pre-approval.

Andy Garretson | NMLS #1831485 | Licensed in all 50 states

Andy Garretson - Your Mortgage Guy

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