Self
Employed Mortgages: Finding Mortgages for the Self-Employed
Are you thinking about starting your own business but are
fearful of future consequences, such as being able to get a
mortgage loan? Or maybe you already are self-employed, but are
wishing to finally purchase a house. Although it used to be
very difficult for a self-employed person to get a loan,
mortgage lenders realized this unfair policy and took steps to
crate a variety of loans especially for people in this
category. Now mortgages for the self-employed are possible and
quite easy to obtain.
The first type from which you can choose is the
No Doc Loans, which require no documentation, income, asset, or
employment verification. This loan is perfect for the self-employed
because it is based on the value of your home and the quality of your
credit score. The lender does not need your tax returns, W2s, pay stubs
or bank statements. The No Doc loan is available with an interest only
option; however, there is no prepayment penalty. With most mortgages for
the self-employed, you must be able to document that you are indeed
self-employed. With this, the mortgage can be closed within forty-eight
hours.
When searching for mortgages for the self-employed, it is
important to remember the role your credit plays in loan approval. Another
possibility is the 100% No Doc Loan which is available for those with a
680 or better middle credit score. This loan even applies to first time
home buyers. No down payment is required; however, it does have a payment
shock limitation. This means that your monthly payment is going to be
limited to twice your current rental or mortgage rates. You will need to
supply two canceled checks, unless you have higher than a 720 or higher
middle credit score.
If you have a great credit history, but cannot or do not want
to verify your income or assets, mortgages for the self-employed are a
little more accessible. The 5% No Doc Loans offer a good rate on a “piggy
back” or a No Doc Loan. It will require a rental or mortgage history,
five percent down, and a 680 or better credit score. If you are
self-employed, a letter from your CPA verifying the existence of your
business for at least two years definitely helps your chances, as does a
proof of a business license.
There are many other ideal mortgages for the self-employed
such as Jumbo and Super Jumbo No Doc Loans, No Doc Cash-out Refinance
Loans, Stated Income Loans, Interest Only Stated Income Loans and more.
Mortgage brokers have taken time to create loan packages of all variants
for the self-employed. Research each type carefully and you are
guaranteed to find one that will work best for your particular situation.
Whether you need a
super jumbo loan or a small interest only loan, MyMortgageBroker.com
is a direct lender that offers many different types of loan products
nationwide. MyMortgageBroker.com will give you an advantage with their
ability to approve and fund loans quickly.
