You want to buy real estate, but you have no taxes returns, no proof of income. It can be done with a “Stated Loan.” A stated income loan is a mortgage where the lender does not verify the borrower's income by looking at their pay stubs, W-2 (employee income) forms, income tax returns, or other records. Instead, borrowers are simply asked to state their income, and taken at their word. Although the borrower must have been employed at least 2 years in the same profession and be a US citizen.
When the Dodd-Frank Act was created in 2010, it heavily regulated banks and lenders. However, these loans that require no income docs or no tax returns for contractors and self-employed borrowers are available. Stated income loans are for non-owner occupied real estate(every type of real estate except your home you are living in) investors can get a fixed loan for let’s say 3-5 years then it turns into and adjustable loan and can last up to 30 years if needed. These loans are very similar to a hard money loan, but are considered to be a step up because they have lower rates and fees. Stated Income Loans are a quick loan process getting up to 70%-80% LTV (loan-to-value) of the property and a down payment of at least 25%-30%. Because of this, you will need to have a good credit score, 650 or better because of the increased risk for the lender. The higher your credit score is, the more likely you are to be approved and get favorable rates. The maximum loan amount varies, but no more than $5million at this time. These loans can be used for purchase, refinance or cash out purposes.
So, if you want to buy a Multifamily & Mixed Use Office, Retail, Warehouse, Self-Storage, Auto Service, 2 or 4 duplexes, or just a home to use as rental income, these types of loans would be beneficial.
As always we collect no fees for our services until the closing day.