For most potential homebuyers, obtaining a mortgage is easy. Show your pay stubs and W-2s to the bank, and start looking for your dream home. Other people have complicated financial situations, though, and don't qualify for the typical bank loan. Consider:

• The young entrepreneur with great credit and some assets, but with no way to verify income;
• The retiree living on a small pension plan and significant interest income from a lifetime of investments;
• The newly married couple at the start of their promising careers, moving into an expensive city;
• The basketball star who doesn't want to disclose his financial situation

All of these people will be able to meet their monthly mortgage payments easily, but none will qualify for a traditional mortgage. Happily, low interest rates and an explosion in the housing market have caused banks to compete for customers they would not have considered several years ago.

While nonconforming, or alternative, mortgage programs have always been available, there has never before been so much variety in the types of mortgages consumers can choose from. Even borrowers who find themselves in situations like the ones listed above will be able to find mortgages that meet their needs. They will have to pay more to borrow their money, however.