Credit Scores Stated Income and No Doc loans require less documentation from lender. Therefore, credit scores must be high in order to obtain one. Basically, a high credit score is a lender’s guarantee that loan will be repaid. If credit scores are not high, borrower may still obtain a loan, with a down payment and/or pay a higher interest rate.

Interest Rates One general rule of thumb for Stated Income loans is less documentation you provide, higher interest rate. Basically, more income and assets a buyer can prove, better. Acceptable documentation for some lenders includes checking and savings account statements, retirement funds, stocks, bonds, and mutual funds. In some cases lenders will even accept deposits to accounts over last 12-24 months and average them out as evidence of monthly income. In latter case, this is a fully documented loan and an applicant may obtain a better interest rate.

Down Payment on Stated Income and No Doc Loans Keep in mind lender is trying to minimize risk with these loans, so a higher down payment of say 5-10% is often essential for a lower interest rate. If you have a solid credit history, you can still obtain a loan without a down payment, borrower merely pays a higher interest rate then lowest going rate.

My company, Breakwater Mortgage in Virginia Beach (http://www.breakwatermortgage.com), offers Stated Income and No Doc loan products. Many banks, and some mortgage companies do not. If you are type of individual who needs these mortgage products, ask your prospective lender if they handle these loans. If not, call me at 1-877-45 BREAK and I will be happy to assist you. Currently Breakwater Mortgage writes mortgages in Virginia and North Carolina.

Stated Income and No Doc loans are perfect loan programs for small business owners, self-employed persons, or any other individuals who cannot prove in writing all of income or assets necessary to purchase home of their dreams.

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10. You'll have a larger number of "strategic thinking" people. This will allow both businesses to come up with profitable business ideas quicker than before.