STATED INCOME:

Stated Income loans are amongst the most commonly used loans. These loans are available to borrowers who, for one reason or another, do not wish to or are unable to verify their annual income. An example of such borrowers includes those who are self-employed or on a commissioned salary, those who obtain revenue from sources they do not wish to divulge or those that receive all or a portion of their income in cash. Income that is stated on the application must be reasonable in terms of your occupation and how much you have in assets.

Stated Income Mortgage loans are available for Single Family, Condo's or Town-homes, as well as investment homes and construction loans. Stated Income is available for people who are purchasing or refinancing, but various factors such as credit, loan-to-value, owner occupancy and others will play an important role in determining the specific rate and terms of the loan. While available as fixed or adjustable rate loans, the interest rate and/or costs may be slightly higher than normal to reflect the higher degree of risk involved in loaning to borrowers whose incomes have not been verified. Such risk is often offset to some degree by borrowers who have significant verifiable assets or who are borrowing only a small percentage of a property's value.