No Income Verification Loan (NIV) also known as Stated Income -requires No W2's, No Pay stubs, No Tax returns, and No IRS Forms. It is available to W-2 wage earners, 1099, Self Employed, and Retired.

Income is not hard to document if your broker knows how income may be documented. Changes in income documentation away from conforming guidelines can result in higher interest rates and fees. If the borrower ends up merely stating on the application their income without verifying it, or not stating or documenting anything at all their may be a higher interest rate and fees associated in addition to limitations to loan-to-value guidelines and property type financing. However, documenting the income in alternative ways, such as with bank statements is still considered "full-documentation" to the lenders that allow it, yet conforming guidelines with Fannie Mae and Freddie Mac still do not accept these type of underwritten loans.

Even with hard to document income you can still qualify for a great loan!

Due to the complexity of their incomes, most self-employed borrowers prefer Stated-Income mortgages. Banks usually require self-employed homebuyers applying for Stated Income loans to provide proof of business ownership. Proof of business ownership can be a business license, company filing receipts, or a letter from a Certified Public Accountant. Lenders also require that the business has been in existence for at least two years and that there are no adverse factors affecting the business.

If your income is difficult to accurately document another program available is called Stated Income. In this type of documentation, you are not required to show any documentation to show your income, you simply tell the mortgage broker how much you earn, your job title and provide your employers name and contact information. The income you earn must be reasonable for the type of job and your job title. In other words, if you are a custodial engineer your income would not be 200K annually, but if you were a pharmaceutical sales person or a neurosurgeon that would be reasonable.

40 Year Mortgage Loan - Recently, lenders have allowed a mortgage loan to be amortized over a forty year span. The benefit to this type of loan structure is more immediate in the lower monthly payment this loan will offer. Unfortunately with the additional years added to the life of the loan, the overall cost of the loan is increased.

The forty year loan that is offered today makes it easier to qualify for a home. It is also possible to pay extra per month to shorten the life of the loan.

An example of a 40 year mortgage note compared to a 30 year mortgage note would be: Amortized for 30 years, for a $300,000 loan amount the mortgage payment based on principle and interest with the APR rate of 6% would be, approximately $1,799 but a mortgage payment (principle and interest) amortized over forty years would be $1,650 with the same interest rate.

The 40 year mortgage note is comparable to an interest only loan in monthly payment. By the same example of $300,000 loan amount and 6% APR, the interest-only payment would be $1,500, which is roughly a 11% difference in payment. For a small increase difference from an interest-only payment, you get to pay your mortgage down and build equity naturally with the 40 yearn mortgage note.