Tips on Stated Income Home Loans

It is usually very hard for people who own their own business to get loans approved. Proving your income without having pay stubs to prove your income is usually very hard. Fortunately, stated income home loans are available. Buy these loans, stating your income in the loan application is possible. The only thing lenders need is for you to show your bank statements and some years of your tax returns in the application process.

Because there has been some abuses of stated mortgages recently, the lending criterion for these loans have been increased. Before there was any crisis about housing, a lot of predatory lenders used to offer the stated loans to people without the ability of qualifying for regular loans. A lot of lenders suffered a lot offering these stated loans to poor credit borrowers because of the short term financial gain. Therefore, if borrowers want to get a stated income loan approved, they need to have a good credit rating.

If lenders wants to approve stated mortgages, the most important thing that they look for is the borrower’s credit rating. The borrowers past history with loans is very important for lenders because these stated loans are much riskier than traditional loans. If someone has missed payments in the past, won’t probably be able to get approval for a stated income home loan.

Because the Internet has a lot of different mortgage lenders that offer mortgage rates, if you want to apply for a stated income mortgage loan, one of the best ways is to go online. Just by searching a little, you can make sure to get the best mortgage rates available.

Comments are closed.