North Dakota is three Non-QM economies in one: Bakken oil field day-rate bank statement (the third-largest shale field in the US; 1M+ barrels/day; McKenzie, Williams, Mountrail Counties), ND farm harvest-season bank statement (mandatory 24-month; #1 spring wheat state), and Minot AFB BAH-anchored DSCR LTR — the only base in the US with simultaneous nuclear bomber and nuclear missile missions, making it structurally BRAC-resistant in ways no other installation can claim.
North Dakota occupies a unique position in the BFF Northern Plains portfolio: a state whose population of only 780,000 produces three entirely distinct Non-QM income profiles that each require specialist documentation knowledge that generalist lenders rarely possess. Western ND — Bakken Williston Basin: The Bakken Formation (McKenzie, Williams, Mountrail, Dunn Counties) is the third-largest shale oil field in the US, behind only the Permian and Eagle Ford, producing over 1 million barrels of oil per day. Day-rate contractors — rig operators, wellsite geologists, drilling engineers, production consultants — earn the most volatile income profile in the BFF portfolio: large lump-sum deposits when multi-week contracts conclude, followed by zero-income gaps between projects. The 24-month bank statement requirement for Bakken income is mandatory, not optional. A 12-month statement will almost always capture only one or two contract cycles and will either drastically overstate or understate normalized annual income depending on where in the cycle it lands. Always use 24 months. Determine contract structure (day-rate 1099 vs. LLC/S-Corp K-1 vs. salaried W-2+bonus) before selecting the documentation approach. Eastern ND — Prairie Agriculture: North Dakota leads the nation in spring wheat, durum wheat (pasta wheat), sunflowers, canola, dry beans, and several other crops. Farm income is defined by its harvest-season concentration: nearly all crop revenue deposits in October–November, with operating expenses distributed throughout the year. A 12-month statement period that covers any summer months will show negligible income. The 24-month bank statement is mandatory for ND farm income — it captures two full harvest seasons, demonstrating the seasonal pattern is real and recurring. For diversified farms (crop + cattle + custom combining + land rental), document each income stream type separately before averaging. Northwest ND — Minot AFB: Minot Air Force Base is the only installation in the US Air Force simultaneously hosting two nuclear missions: the 5th Bomb Wing’s B-52H Stratofortress nuclear-capable bombers and the 91st Missile Wing’s 150 Minuteman III ICBMs deployed across an 8,500-square-mile missile field. This dual-nuclear mission makes Minot the most BRAC-resistant installation in the BFF portfolio. Grand Forks AFB (Grand Forks County) adds the RQ-4 Global Hawk unmanned aerial vehicle mission and the University of North Dakota (UND; 14,000 enrolled) anchors eastern ND’s LTR demand for graduate student and healthcare professional housing. BFF holds ND Residential Mortgage Lender License ML105114 under NDCC Chapter 13-12.
The AML/BSA and IT/Cybersecurity policy upload requirements, the capital-letter DFI contract disclosure, Bakken oil day-rate 24-month mandatory classification, ND farm harvest-season 24-month mandatory, and Minot AFB’s unique BRAC-resistance are the operationally critical notes for BFF ND broker partners.
North Dakota’s Residential Mortgage Lenders Act (NDCC Chapter 13-12, effective August 1, 2023) requires two specific policy documents to be uploaded into NMLS as part of the license application and ongoing compliance maintenance. These are not mailed — they are electronic uploads through the NMLS system. (1) AML/BSA Policy with Most Recent Independent Review: An Anti-Money Laundering / Bank Secrecy Act compliance policy is required, and critically, it must include the most recent independent review of that policy. The independent review is a third-party evaluation of the company’s AML/BSA program implementation — not just the policy text. This requirement is more detailed than most states’ AML requirements and means a company that has a policy but has not had it independently reviewed will need to commission that review before the ND application can be submitted. (2) IT/Cybersecurity Policy: A documented information technology security and cybersecurity policy covering data protection, breach response, access controls, and information security practices. This requirement reflects the ND DFI’s post-2023 focus on cybersecurity risk in the mortgage industry. Both documents must be current and updated as policies evolve. Broker partners applying for ND licenses should have both policies drafted, independently reviewed (for AML/BSA), and ready for NMLS upload before submitting the ND application. Do not submit the application without both documents uploaded — the application will be incomplete. Contact the ND DFI at 701-328-9933 or nd.gov/dfi for the current upload checklist.
BRAC (Base Realignment and Closure) is the primary risk that concerns DSCR investors in military housing markets. When an installation closes or significantly downsizes, BAH-anchored LTR income collapses quickly. Minot AFB is protected from BRAC in a structurally unique way that no other installation in the BFF portfolio can claim. The strategic argument: the 2010 Nuclear Posture Review, the 2018 Nuclear Posture Review, and the 2022 Nuclear Posture Review all reaffirm the US nuclear triad (ICBMs + submarine-launched ballistic missiles + nuclear-capable bombers). Minot AFB is the only installation that hosts two of these three legs simultaneously (Minuteman III ICBMs + B-52H nuclear-capable bombers). No Congress has ever closed an installation with an active nuclear weapons mission during peacetime. Closing Minot would require: (1) restructuring the nuclear triad by either retiring a class of nuclear weapons or relocating them, (2) congressional authorization, (3) presidential signature, and (4) years of environmental review. The probability of all four occurring is effectively zero under any current or foreseeable defense posture. For DSCR files near Minot AFB: the BRAC-resistance analysis supports treating Minot as a permanent, non-cyclical tenant demand source. Use standard 5–7% vacancy assumptions for Minot-adjacent LTR (not the elevated commodity-cycle assumptions used in the Bakken corridor). Document the dual-nuclear mission in the file narrative as a BRAC-resistance factor. This argument has been accepted by BFF underwriters for Minot files. Note: Minot city itself has diversifying economic anchors beyond the AFB: Trinity Health (regional hospital), the University of North Dakota Minot campus, and regional retail/commercial services — which further supports residential vacancy stability.
The 24-month bank statement requirement for both Bakken oil income and ND farm income is not a preference or a caution — it is a functional necessity that reflects how these income streams actually work. Bakken day-rate income: A 12-month bank statement for a rig operator could easily show $280,000 in one scenario (12 months working; top of cycle) or $80,000 in another (3 months working; between projects; oil price bust) for the same borrower at the same career stage. Neither is the borrower’s normalized annual income. The 24-month average across two full commodity-price years is the only statement period that captures enough contract cycles to produce a defensible normalized income figure. ND farm income: A 12-month bank statement period that includes both months of summer (no income) and the October-November harvest will show $0 for 8 months and a large spike for 2 months — which looks like an irregular spike rather than a recurring seasonal income pattern to an underwriter unfamiliar with ND agriculture. The 24-month period shows two harvests (two October-November spikes in the same months of each year), demonstrating unambiguously that the pattern is seasonal and recurring — not random. Two specific ND farm income complications: (1) Carryover grain sales: some ND farmers hold grain in storage from the fall harvest and sell in the spring or summer of the following year when prices are better. This means the grain income from crop year 2024 might appear as bank deposits in March 2025. A 24-month statement captures this correctly; a 12-month statement may miss it or double-count it depending on the window. Document carryover grain sales separately. (2) Crop insurance settlements: paid in November-December after harvest; may be large if there was a hail or drought event; treat as recurring income only if the farm consistently files crop insurance claims (indicating ongoing coverage and farm operation), not as a one-time windfall.
North Dakota enacted a significant licensing change effective August 1, 2023: North Dakota Century Code Chapter 13-12 (the Residential Mortgage Lenders Act) replaced the prior Money Brokers Act as the governing authority for residential mortgage lending. BFF’s existing ND license was transitioned to the new ML-series Residential Mortgage Lender license. Key requirements under the new framework: $25,000 minimum net worth (unaudited financial statement — one of the most accessible in the BFF portfolio); $50,000 surety bond filed electronically through NMLS; Qualifying Individual with 3 years mortgage lending experience in a managerial role; AML/BSA Policy + independent review and IT/Cybersecurity Policy uploaded through NMLS (see above); and the required capital-letter DFI disclosure in all written contracts. The capital-letter disclosure is a verbatim statutory requirement that cannot be paraphrased, summarized, or placed in smaller type. It must appear in ALL CAPS and must be in every written contract between the licensee and any borrower for a loan secured by North Dakota real estate. Broker partners should confirm their loan documents, including rate lock agreements, loan estimates, and any other written contract used in ND transactions, include this disclosure in capital letters. Failure to include it is a compliance violation. ND DFI: 2000 Schafer Street, Suite G, Bismarck, ND 58501 · 701-328-9933 · nd.gov/dfi. Verify BFF’s license at NMLS Consumer Access.
North Dakota’s Non-QM map runs west to east: Bakken oil field volatile day-rate income (the most concentrated single-commodity income volatility in the BFF portfolio), ND’s harvest-season agricultural income, Minot AFB’s uniquely BRAC-resistant dual-nuclear military housing market, Grand Forks AFB and UND’s drone technology and university LTR anchor, and the east-west economic bifurcation that requires different DSCR vacancy modeling across the state.
The Bakken Formation produced 2,000+ millionaires per year during its peak boom period and remains a massive volatile-income generator. McKenzie County alone now produces 220,000+ barrels per day. The income classification taxonomy for Bakken borrowers: (1) Day-rate 1099 contractors (rig operators, wellsite geologists, mud engineers, directional drillers, completion supervisors): receive 1099 income paid by the operating company at a per-day rate; gaps between contracts are common; use 24-month bank statement and average the total deposits; document the day rate and typical contract duration from a contract or employer letter; expect month-to-month variability of 0%–300% of the annual average. (2) Oil field service company owners (trucking, fluid management, coil tubing, pipeline inspection): receive S-Corp K-1 distributions + minimal W-2 officer salary; 24-month bank statement captures both officer salary and distribution deposits; document the company’s primary customer relationship with an operating company. (3) Royalty owners and mineral rights holders: many ND landowners receive monthly royalty checks from operators; royalty income deposits monthly but at volumes linked to commodity price and production levels; use 24-month bank statement to normalize across commodity price cycles; note current WTI price environment in the file. Always use 24 months — never 12. Williston basin commodity-price sensitivity means any 12-month window will either over- or under-represent normalized income depending on where the price cycle sits.
North Dakota is the single most agriculturally concentrated state in the US per capita, leading the nation in at least six major crops. Farm income patterns are the most seasonally concentrated in the BFF portfolio — more concentrated than Florida citrus, more concentrated than Iowa corn, more concentrated than Kansas winter wheat. ND crop revenue deposits almost entirely in October and November during the fall harvest and grain sale cycle. A 12-month bank statement that covers April–March will show almost no income in the spring and summer months and a massive income spike in October–November. This is not a financial problem — it is how North Dakota farming works — but it makes 12-month bank statement qualification impossible because the statement will almost certainly misrepresent the borrower’s normalized annual income based on which month the 12-month window ends. 24-month bank statement is the only acceptable documentation for ND farm income. For diversified farm operations (crop production + cattle + custom combining services + cash rent on leased acres): document each income stream separately before averaging. Cash grain sales and forward contracts: large grain elevator checks in October–November represent the bulk of the year’s income; obtain elevator scale tickets or settlement sheets as supplemental documentation of the commodity sold. Cattle sale income: arrives at livestock auction; deposits in fall (fall weaning sales) and spring (yearling sales). Custom combining income: fall only; peaks during September–October harvest travel. Land rental income: arrives in March and November by convention; very predictable two-payment annual pattern.
Minot Air Force Base hosts the only combination of active strategic nuclear bomber and active ICBM missile wings at a single US installation. The 5th Bomb Wing operates B-52H Stratofortress bombers — the US Air Force’s primary nuclear-capable strategic bomber, with significant nuclear stand-off cruise missile capability under continuous modernization. The 91st Missile Wing operates 150 Minuteman III ICBMs deployed across a dispersed 8,500-square-mile missile field spanning Ward, Bottineau, Renville, McHenry, Pierce, Rolette, and McLean Counties. This dual-nuclear mission makes Minot structurally BRAC-resistant in a way that is legally and strategically unique: the 2002 Nuclear Posture Review and subsequent national security frameworks constrain Congress’s ability to close any installation hosting an active nuclear weapons mission — closing both simultaneously at the same base is effectively inconceivable under current defense policy. For DSCR investors: Minot AFB BAH rates (Ward County) are among ND’s highest. Investment properties in Minot ($180K–$320K for SFR) combined with BAH-backed rents from O-2 through O-5 officers and E-6 through E-8 enlisted personnel produce DSCR ratios that consistently clear 1.25. The installation rotates approximately 5,000+ active-duty personnel annually through PCS orders — the perpetual tenant pipeline is structural, not cyclical. North Minot, Burlington corridor, and properties within 15 minutes of the main gate are the primary LTR investment zone.
Grand Forks Air Force Base (Grand Forks County) hosts the 319th Reconnaissance Wing, the primary operational wing for the RQ-4 Global Hawk — the US Air Force’s largest unmanned aerial vehicle (UAV), with the wingspan of a Boeing 737, capable of 24-hour non-stop missions at 60,000 feet. The Global Hawk mission makes Grand Forks AFB one of the Air Force’s most technologically advanced and forward-looking installations. BAH rates for Grand Forks AFB (Grand Forks County) produce solid DSCR LTR economics. The University of North Dakota (UND; Grand Forks) with 14,000+ enrolled students anchors a parallel LTR demand base: graduate student housing (UND John D. Odegard School of Aerospace Sciences is the largest aeronautics university program in the US — directly aligned with the drone mission at Grand Forks AFB), medical school (UND School of Medicine and Health Sciences), law school, and engineering faculty. The Grand Forks MSA economy is more stable and diversified than western ND because it combines military, university, healthcare (Altru Health System), and Red River Valley agriculture — producing lower DSCR vacancy risk than the western ND oil patch.
North Dakota Century Code Chapter 13-12 requires all licensed Residential Mortgage Lenders to include a specific disclosure in all written mortgage contracts, which must appear in capital letters. The required statutory text is: NOTICE: RESIDENTIAL MORTGAGE LENDERS ARE LICENSED AND REGULATED BY THE NORTH DAKOTA DEPARTMENT OF FINANCIAL INSTITUTIONS. THE DEPARTMENT OF FINANCIAL INSTITUTIONS HAS NOT PASSED ON THE MERITS OF THE CONTRACT AND LICENSING DOES NOT CONSTITUTE AN APPROVAL OF THE TERMS OR OF THE LENDER’S ABILITY TO ARRANGE ANY LOAN. COMPLAINTS REGARDING THE SERVICES OF RESIDENTIAL MORTGAGE LENDERS SHOULD BE DIRECTED TO THE DEPARTMENT OF FINANCIAL INSTITUTIONS. This is a statutory compliance requirement — not a best practice — that must appear in every written contract between a licensed ND mortgage lender and a borrower. The capital-letter format is specifically required by statute, not merely conventional practice. All written contracts used in North Dakota transactions must include this disclosure.
North Dakota’s east-west economic bifurcation is more pronounced than any other state in the BFF Northern Plains portfolio. Western ND Bakken corridor (Williston, Watford City, Killdeer, Dickinson): DSCR vacancy modeling must account for commodity-price cycle sensitivity. When oil prices are high, rig counts increase, workforce housing demand surges, and occupancy rates hit 98%+. When oil prices fall and rigs are stacked, Bakken workforce housing vacancy can spike dramatically — Williston saw significant vacancy during the 2015–2016 oil price collapse. For DSCR LTR files in the Bakken corridor: use a conservative vacancy assumption of 8–12% (not the 5% standard for stable markets); document whether the property serves the general residential population or specifically the transient oil workforce; oil workforce housing (man camps and extended-stay apartments) carries higher vacancy risk than standard residential LTR. Eastern ND (Fargo, Grand Forks, Bismarck, Mandan, Dickinson, Jamestown): economically diversified across healthcare, education, agriculture processing, and government; vacancy modeling standard 5–8%; Fargo is the most stable ND market with 1% unemployment rates during recent years and significant healthcare (Sanford Health, Essentia Health) and technology (Microsoft, Amazon, Doosan Bobcat HQ) employment anchors. Fargo is the largest city in ND and the safest DSCR LTR market in the state.
Every BFF program is available to licensed North Dakota mortgage brokers statewide — from Williston and Watford City to Minot and Grand Forks to Fargo and Bismarck.
Bakken oil capital. Williams County: 180,000+ bbl/day. Day-rate 1099 bank statement (24-month mandatory). Rig operators, drilling engineers, oil field service company owners. City grew 210%+ since 2010. DSCR LTR: 8-12% vacancy assumption (commodity-cycle sensitive). Avoid transient oil workforce housing for DSCR. Williston Basin International Airport.
Bank Stmt · DSCR (conservative vacancy)McKenzie County: #1 ND oil county; 220,000+ bbl/day. Bakken boom epicenter. Watford City grew from ~1,700 to 7,000+ (peak). Day-rate bank statement: wellsite geologists, directional drillers, completion supervisors. Royalty owners: mineral rights holders receiving monthly production payments. Oil field service company K-1. 24-month mandatory.
Bank Stmt · Royalty incomeMinot AFB (5th BW B-52H bombers + 91st MW Minuteman III ICBMs; only dual-nuclear base in US). Ward County BAH rates among ND's highest. DSCR LTR: $180K-$320K acquisitions; 5,000+ PCS rotations/year; near-zero vacancy. North Minot, Burlington corridor. VA for primary purchases. Standard 5% vacancy assumption. BRAC-resistant by nuclear mission structure.
DSCR LTR · VA · BRAC-resistantGrand Forks AFB (319th RW; RQ-4 Global Hawk drone mission; most advanced UAV in USAF inventory). UND (14,000+ enrolled; #1 aerospace university program in US; drone-aligned with AFB). Altru Health System. Red River Valley agriculture processing. LTR: $200K-$340K; diversified tenant base (military, students, healthcare). East Grand Forks, MN overflow.
DSCR LTR · VA · UND anchorND's largest city. Most diversified and stable ND LTR market. Sanford Health (largest ND hospital system), Essentia Health, Sanford Medical Center. Microsoft (regional hub), Amazon (fulfillment), Doosan Bobcat HQ, Intelligent InSites. NDSU (14,000+ enrolled). $250K-$420K acquisitions; standard 5% vacancy; growing tech and healthcare professional community.
DSCR LTR · Most stable ND marketND state capital. State government employment (largest single employer in Bismarck MSA). Sanford Health Bismarck, CHI St. Alexius. Missouri River corridor. Suburban growth in Mandan (Morton County). $230K-$380K acquisitions; stable government-anchored LTR. MDU Resources, BNC National Bank HQ. Standard 5% vacancy. VA for military veterans statewide.
DSCR LTR · State govt anchorRichland, Ransom, Sargent, Cass, Traill, Barnes, Steele Counties. Flat, extremely productive farmland (100 bushels/acre spring wheat in good years). Farm bank statement: harvest-season concentration Oct-Nov; 24-month mandatory. Sugar beet processing (American Crystal Sugar; Minn-Dak Farmers Cooperative). Agricultural service businesses (grain merchandising, ag inputs, custom work). Rural bank statement profiles.
Farm Bank Stmt · 24-month mandatoryBakken 24-month mandatory income classification (1099 vs. K-1 vs. royalty), ND farm harvest-season 24-month mandatory, Minot AFB dual-nuclear BRAC-resistance DSCR analysis, east-west vacancy bifurcation underwriting, AML/BSA independent review and IT/Cybersecurity Policy compliance, capital-letter DFI contract disclosure — BFF brings ND License ML105114 and specialist Non-QM expertise for the Peace Garden State.
BFF holds ND Residential Mortgage Lender License ML105114 under the August 2023 NDCC Chapter 13-12 framework: $25K net worth, $50K bond through NMLS, QI with 3 years managerial experience, AML/BSA Policy with independent review and IT/Cybersecurity Policy uploaded to NMLS, and capital-letter DFI disclosure in all ND written contracts.
BFF's Bank Statement team pre-classifies Bakken borrower contract structures before submission: day-rate 1099 vs. oil field service company S-Corp K-1 vs. royalty owner monthly payments vs. salaried E&P employee with drilling bonus. All ND Bakken files use 24-month averaging — never 12. Commodity-price cycle context noted in each file narrative.
BFF advises on ND farm income documentation before submission: two-harvest-cycle 24-month averaging, carryover grain sale documentation strategy, crop insurance settlement recurring vs. non-recurring determination, and diversified farm income stream separation (crop + cattle + custom work + land rental). Schedule F add-back analysis for Full Doc Non-QM.
BFF underwriters recognize Minot AFB's dual-nuclear mission (B-52H + Minuteman III) as a BRAC-resistance factor documented in DSCR file narratives. Standard 5-7% vacancy applied to Minot-adjacent LTR. Elevated 8-12% vacancy applied to Bakken oil corridor. Grand Forks AFB Global Hawk mission treated as stable diversified LTR anchor.
BFF meets ND's distinctive dual policy upload requirement: AML/BSA Policy with most recent independent review and IT/Cybersecurity Policy, both uploaded through NMLS as required by NDCC Chapter 13-12. Both policies are current and maintained. Capital-letter DFI disclosure is included in all BFF written contracts used in North Dakota transactions.
Bakken oil income classification guidance before full submission prevents mid-file surprises. ND farm harvest-season income normalization advises provided pre-submission. All ND files receive initial underwriting in 24-48 business hours with specialist Non-QM review for Bakken 1099, ND farm bank statement, and military DSCR files.
ND Residential Mortgage Lender License (NDCC Chapter 13-12) requires $25K net worth, $50K surety bond via NMLS, QI with 3 years managerial experience, AML/BSA Policy with independent review and IT/Cybersecurity Policy both uploaded to NMLS, and capital-letter DFI disclosure in all written contracts.
Your brokerage must hold an active ND Residential Mortgage Lender License (ML-series) from the ND Department of Financial Institutions. Requirements: Qualifying Individual with 3 years of mortgage lending experience in a managerial role; $25,000 minimum net worth (unaudited financial statement); $50,000 surety bond filed electronically through NMLS; AML/BSA Policy with most recent independent review uploaded to NMLS; IT/Cybersecurity Policy uploaded to NMLS; no advance fee prohibition (except appraisal/credit report actual cost or rate lock fees). No in-state office required. Renewal annually through NMLS. ND DFI: 2000 Schafer Street, Suite G, Bismarck, ND 58501 · 701-328-9933 · nd.gov/dfi.
ND’s most distinctive licensing requirement: both an AML/BSA Policy with documentation of the most recent independent (third-party) review AND an IT/Cybersecurity Policy must be uploaded into NMLS before the license application is complete. These are electronic NMLS uploads, not mailed documents. The independent review component of the AML/BSA requirement means a company must commission a third-party review of its AML/BSA program before applying for the ND license — not just have a policy on paper. Have both documents drafted, reviewed, and ready for NMLS upload before submitting the ND application.
NDCC Chapter 13-12 requires the following disclosure to appear in ALL CAPS in every written contract between a licensed ND Residential Mortgage Lender and a borrower: “NOTICE: RESIDENTIAL MORTGAGE LENDERS ARE LICENSED AND REGULATED BY THE NORTH DAKOTA DEPARTMENT OF FINANCIAL INSTITUTIONS. THE DEPARTMENT OF FINANCIAL INSTITUTIONS HAS NOT PASSED ON THE MERITS OF THE CONTRACT AND LICENSING DOES NOT CONSTITUTE AN APPROVAL OF THE TERMS OR OF THE LENDER’S ABILITY TO ARRANGE ANY LOAN. COMPLAINTS REGARDING THE SERVICES OF RESIDENTIAL MORTGAGE LENDERS SHOULD BE DIRECTED TO THE DEPARTMENT OF FINANCIAL INSTITUTIONS.” This is a verbatim statutory requirement. It cannot be paraphrased. Confirm all ND loan documents include this disclosure in capital letters.
All originating loan officers must hold active North Dakota MLO licenses from the ND DFI. Submit BFF’s Broker Application Package from the Resource Center. ND-specific file notes: for Bakken oil income files — pre-classify contract structure (day-rate 1099, S-Corp K-1, royalty, W-2+bonus) before submission; use 24 months always. For ND farm income files — 24-month mandatory; document carryover grain separately; note crop insurance treatment. For Minot AFB DSCR — note dual-nuclear mission in narrative; use standard 5-7% vacancy. For Bakken DSCR LTR — use 8-12% vacancy; avoid transient workforce housing. E&O coverage required.
A dedicated BFF Account Executive will reach out within 1–2 business days. You’ll receive portal access, rate sheets, and specialist guidance on ND-specific programs: Bakken oil day-rate bank statement (24-month mandatory; income classification pre-submission), ND farm harvest-season bank statement (24-month mandatory; carryover grain strategy), Full Doc Non-QM for farm depreciation add-back, Minot AFB dual-nuclear BRAC-resistant DSCR LTR, Grand Forks AFB Global Hawk + UND LTR DSCR, Fargo/Bismarck/Grand Forks eastern ND standard vacancy LTR DSCR, VA for Minot and Grand Forks AFB active duty and veterans, and 1099 for Bakken pipeline engineers and eastern ND rural healthcare providers.
Ready to close in North Dakota?
Yes. BFF (FlexPoint, Inc.) holds North Dakota Residential Mortgage Lender License ML105114, issued by the North Dakota Department of Financial Institutions (ND DFI) under NDCC Chapter 13-12 (the Residential Mortgage Lenders Act, effective August 1, 2023). NMLS #243082. Requirements: $25,000 minimum net worth (unaudited), $50,000 surety bond via NMLS, Qualifying Individual with 3 years managerial mortgage experience, AML/BSA Policy with most recent independent review and IT/Cybersecurity Policy both uploaded to NMLS, and capital-letter DFI statutory disclosure in all written contracts. Verify at NMLS Consumer Access.
The Bakken Formation produces the most volatile income profile in the BFF portfolio. Day-rate contractors earn large lump-sum deposits when multi-week contracts conclude, followed by zero-income gaps between projects. The income also moves in commodity-price cycles: rig activity and day rates expand when WTI oil prices are high and collapse when they fall (as happened dramatically in 2015–2016 and again in spring 2020). A 12-month bank statement for a Bakken day-rate contractor could show anywhere from $40,000 to $400,000 for the same borrower depending on where in the project cycle and commodity cycle the 12-month window falls. Neither figure represents the borrower’s normalized annual income. The 24-month average captures at least two contract cycles and, for most Bakken borrowers, spans parts of at least two different commodity price environments — producing a normalized figure that can be defended in underwriting. Always determine the contract structure (day-rate 1099, LLC/S-Corp K-1, royalty owner, salaried W-2+bonus) before choosing the documentation approach. Bank Statement max $4M, 90% LTV, 620 FICO.
North Dakota farm income concentrates almost entirely in October and November during the fall harvest and grain sale cycle. A 12-month bank statement window that covers summer months will show virtually no income for 6–8 months and a large spike in 2 months — which an underwriter unfamiliar with ND agriculture may interpret as irregular income rather than a recurring seasonal pattern. The 24-month statement shows two harvests (two October-November spikes in consecutive years), demonstrating unambiguously that the pattern is seasonal and recurring. Two specific complications: Carryover grain sales — some farmers hold grain in storage after fall harvest and sell in the following spring or summer when prices are better; a 24-month statement captures this correctly while a 12-month statement may miss or miscategorize it. Crop insurance settlements — paid in November-December after harvest; treat as recurring only if the farm consistently has crop insurance coverage (not a one-time weather event). Bank Statement max $4M, 90% LTV, 620 FICO.
Minot Air Force Base is the only installation in the US Air Force simultaneously hosting two nuclear weapons missions: the 5th Bomb Wing operating B-52H nuclear-capable strategic bombers and the 91st Missile Wing operating 150 Minuteman III ICBMs in hardened silos across a dispersed 8,500-square-mile missile field. The 2010, 2018, and 2022 Nuclear Posture Reviews all reaffirm the US nuclear triad — which depends on Minot AFB for two of its three legs. Congress has never closed an installation with an active nuclear weapons mission during peacetime. Closing Minot would require restructuring or retiring two classes of nuclear weapons, which would require presidential authorization, congressional approval, and years of environmental review under the National Environmental Policy Act — effectively inconceivable under any current or foreseeable defense posture. For DSCR investors near Minot AFB: use standard 5–7% vacancy assumptions (not the elevated 8–12% used for Bakken corridor properties). Note the dual-nuclear mission BRAC-resistance in the DSCR file narrative. BAH rates for Ward County are among ND’s highest. Investment properties $180K–$320K produce DSCR ratios above 1.25 at current BAH rates. DSCR max $3.5M, 85% LTV, 640 FICO.
North Dakota’s NDCC Chapter 13-12 requires two specific policy documents to be uploaded into NMLS before a Residential Mortgage Lender license application is complete: (1) AML/BSA Policy with the most recent independent review — this means both the Anti-Money Laundering / Bank Secrecy Act compliance policy text AND documentation of the most recent third-party independent review of that policy’s implementation. A company that has a policy but has not had it independently reviewed must commission that review before applying. (2) IT/Cybersecurity Policy — a documented cybersecurity and information technology security policy. Both documents are uploaded electronically through NMLS — they are not mailed to the ND DFI. Both must be maintained and updated throughout licensure. Additionally, NDCC Chapter 13-12 requires the following verbatim disclosure in capital letters in all written contracts: NOTICE: RESIDENTIAL MORTGAGE LENDERS ARE LICENSED AND REGULATED BY THE NORTH DAKOTA DEPARTMENT OF FINANCIAL INSTITUTIONS. THE DEPARTMENT OF FINANCIAL INSTITUTIONS HAS NOT PASSED ON THE MERITS OF THE CONTRACT AND LICENSING DOES NOT CONSTITUTE AN APPROVAL OF THE TERMS OR OF THE LENDER’S ABILITY TO ARRANGE ANY LOAN. COMPLAINTS REGARDING THE SERVICES OF RESIDENTIAL MORTGAGE LENDERS SHOULD BE DIRECTED TO THE DEPARTMENT OF FINANCIAL INSTITUTIONS.
Apply through BFF’s Become a Broker Partner page. Requirements: active North Dakota Residential Mortgage Lender License (ML-series, NDCC Chapter 13-12) from the ND DFI, with Qualifying Individual who has 3 years managerial mortgage experience; $25,000 minimum net worth (unaudited); $50,000 surety bond filed through NMLS; AML/BSA Policy with most recent independent review uploaded to NMLS; IT/Cybersecurity Policy uploaded to NMLS; capital-letter DFI disclosure in all ND written contracts; ND MLO licenses for all originators; active E&O insurance; and completed BFF Broker Application Package. Approval typically 1–2 business days. Your AE will introduce you to: Bakken oil day-rate bank statement (24-month mandatory; income classification guidance), ND farm harvest-season bank statement (24-month mandatory), Full Doc Non-QM for farm depreciation add-back, Minot AFB BRAC-resistant DSCR LTR, Grand Forks AFB Global Hawk + UND DSCR LTR, Fargo/Bismarck/Grand Forks eastern ND standard vacancy LTR DSCR, VA for Minot and Grand Forks AFB, and 1099 for Bakken pipeline engineers and rural ND healthcare providers.
Partner with BFF for fast, reliable wholesale lending in North Dakota. Submit a scenario or become an approved broker today.
