No Doc Home Loans is a home loan that does not require you to verify your work, to prove your income. These home loans made for certain types of people and situations.
They are not for everyone and here are a few situations that can benefit from this type of loan with. Check this out to know more about no doc home loans for self-employed.
Situation # 1
If you are self-employed individuals and you have difficulty proving your true income, the loan no documents can be beneficial for you. This is a typical situation and popular for no doc home loans.
Situation # 2
Tipped employees who do not claim all their tips are another group of people that this type of home loan is very well suited. This is a group that makes more than they can prove and hard to get a good loan because of it.
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Situation # 3
If you have worked in the same job for more than two years, but the ratio of debt to income is too high for a normal mortgage, then there is no doc home loan is not for you.
Mortgage brokers may try to talk you into a no doc loan to get your business, but if the ratio of debt to income is too high for a regular mortgage, then it is a big mistake for you to approve the loan without doc home.
So now you know where the good situation for no doc home loan and a bit about when you should avoid one. Be sure to shop no doc home loan quotes to ensure you get the best quote for you.