Are there loans for self-employed with hard to document income?
Across the United States, more and more people are experiencing growth in their income, but due to taxes, they show very little increase in net income. Business owners and entrepreneurs understand the importance of keeping a positive credit rating. To avoid the issue of a full documentation mortgage, many business owners and entrepreneurs have opted to increase the amount of their down payment. Many lending entities are aggressively lending to this group of individuals because they understand that the higher level of cash gives them the ability to pay their mortgage obligations. Within the mortgage industry these types of loans are commonly referred to as No-Doc loans, abbreviated for no documentation of income. These types of loans require a good credit rating and many also require a larger down payment as compared to down payments required on conventional loans. The increased down payment gives the lender a sense of security in the loan due to an increase in owner’s equity. Landmark
