"No-doc" loans are mortgages
for which lenders require very little
loan documentation as long as the
borrower puts down a sizable down
payment, generally 25 percent or more.
These
mortgages are common among self-employed
people who say they earn a certain
amount of money but whose tax returns
show that their earnings are much
lower.
Resources:
* "How to Shop for a Mortgage,"
Mortgage Bankers Association of
America, 1919 Pennsylvania Ave.
N.W., Washington, DC 20006-3404;
call (202) 557-2700; www.mbaa.org.
Q:
Can
someone who is unemployed get a loan?
A:
Generally, lenders will not make loans
to unemployed persons because someone
without an income would seemingly
have no way of making monthly mortgage
payments.
However,
there are home loans for which lenders
require very little loan documentation
as long as the borrower puts down
a sizable down payment, generally
25 percent or more. These "no-doc"
loans are common among self-employed
people who say they earn a certain
amount of money but whose income
tax returns show that their earnings
are much lower.
Borrowers
should check directly with lenders
when seeking a no-doc loan. If specific
lenders do not offer them, ask for
a referral.
Copyright
2006 Inman News Features
FREE
HOME SEARCH SERVICE
Use
this form to order a list of homes that meet your criteria.
Please give as much detail as possible.
