Types Of Stated Income Loans
The following non-conventional loans may assist borrowers who are self-employed, or do not wish to disclose their full financial histories. Please contact a Bank of the Commonwealth Mortgage Loan Specialist to determine which of these programs would work best for you.
+ SIVAStated Income Verified Asset Loan+ SISA
Perfect for those borrowers who either are unable to document their income or are self-employed and will have difficulty documenting all income, the stated income verified asset loan allows for borrowers to get a mortgage loan without all the documentation that is normally required to obtain a mortgage. Documents such as W-2s, pay stubs, and tax returns are not required to begin this loan process; however, the income the borrower earns must be reasonable for the employment stated. Stated income loans are the least expensive option for borrowers with difficulty verifying income information as interest rates tend to increase as the risk involved for the lender increases. Generally, stated income mortgages are for people who are self-employed or are paid a cash majority. Lenders commonly ask that the borrower be in business for at least two years.
Stated Income Stated Asset Loans+ NINA
The Stated Income Stated Asset mortgage loan allows borrowers who have difficulty documenting their income sources to obtain a home in line with their true purchasing power. Although SISA loans normally charge higher interest rates, stated income loans only require a limited amount of documentation to be furnished to the lender. Lenders usually only let borrowers who have excellent credit history use this program due to the tendency to abuse such programs. Generally, stated income mortgages are for people who are self employed or are paid a cash majority. To decrease the risk being taken, lenders commonly ask that the borrower be in business for at least two years.
No Income No Asset Loans+ No Ratio Loans
An ideal option for those borrowers who have difficulty producing income sources, the No Income No Asset mortgage loan requires the least amount of documentation. Borrowers wanting to maintain a low financial profile need only provide an excellent credit history and property appraisal. The better the credit score, the less documentation the lender will require from the borrower. No income no asset mortgage loans are for creditworthy people who want maximum financial privacy and can afford to pay for it.
The "don’t ask, don't tell" mortgage, no ratio mortgage loans do not require the borrower to disclose any financial information. No ratio mortgage loans are called such because the lender does not, and cannot, compute a debt-to-income ratio on the borrower. In fact, the only information the borrower normally provides besides his name and social security number is a list of assets. Without having all the additional paperwork to sift through, the lender can quickly pursue the loan process and thus expedite the process for the creditworthy borrower. Depending on the borrower’s credit score, the property appraisal and the amount of the down payment, the interest rate may be substantially higher for the no ratio mortgage borrower.+ NIV
Offered to borrowers with good credit histories who do not wish to document their incomes, the No Income Verification mortgage loan gives the borrower the opportunity to apply for a mortgage without disclosing their full financial background. The income is "stated" but not verified, as the borrower tells the lender his income but is not required to release any statements to verify the income. This program is ideal for self-employed borrowers with complicated tax returns and financial statements. Salaried and retired borrowers are also eligible for the No Income Verification mortgage loan.
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