Ads
related to: stated income mortgage az
Search results
Results From The WOW.Com Content Network
A stated income loan is a mortgage where the lender does not verify the borrower's income by looking at their pay stubs, W-2 (employee income) forms, income tax returns, or other records. Instead, borrowers are simply asked to state their income, and taken at their word. These loans are sometimes called liar loans or liar's loans. [1]
There are numerous factors that might cause a mortgage not to qualify under the GSEs' traditional lending guidelines even though the borrower's creditworthiness is generally strong. A few of the more important factors are: Reduced borrower income and asset documentation (for example, "stated income", "stated assets", "no income verification")
The recent use of subprime mortgages, adjustable rate mortgages, interest-only mortgages, Credit default swaps, Collateralized debt obligations, Frozen credit markets and stated income loans (a subset of "Alt-A" loans, where the borrower did not have to provide documentation to substantiate the income stated on the application; these loans were ...
Key takeaways. A no-doc mortgage offers a way to get a home loan without some of the income and employment verification paperwork lenders traditionally require, like W-2s and pay stubs.
Documents such as employment and income verification, asset statements, debt information, credit history and identification are necessary for mortgage preapproval.
Investigate lower- and moderate-income mortgages to learn which option might work best for your situation. Remember, these include: 3 percent conventional loans (HomeReady, Home Possible, HomeOne ...