Mortgage Documentation and Types

[cashlenders]

There are a wide range of mortgage documentation types:


1) Full Doc (umentation): This is the most common type of mortgage
documentation. With a full doc mortgage you will normally be expected to
provide complete proof and documentation of all income sources and asset
sources. You can usually be expected to provide at a minimum; your last 2
paystubs, your last 2 years W-2 forms, your last 2-3 months bank statements
for each bank account that you have (full statements and not just the first
page), your most recent 6 months 401K and/or IRA statements. With many sub
prime lenders, you can substitute your last 12-24 months bank statements in
lieu of both pay stubs and W-2s.

2) Limited Doc: A limited (lite) doc mortgage generally will use as little as 6
months bank statements to prove income. Otherwise it is like a full doc
mortgage.

3) Stated Income/Verified Asset (SIVA): With a stated income/verified asset
mortgage you simply state what your income is, though it has to be
reasonable to the type of work. Like the full doc mortgage you will need to
verify your assets with documentation.

4) Stated Income/Stated Asset (SISA): With a stated income/stated asset
mortgage, you state both your income and what assets you have. These are
not verified.

5) No Ratio: This mortgage type has no income associated with it. While
employment information is required, the income amount is neither shown nor
disclosed. The only information that is verified with the employer is that
the borrower is employed there and for how long. Assets will normally be
verified with this mortgage type.

6) No Income No Asset (NINA): With this mortgage type, neither income nor
assets are shown. As with a no ratio mortgage, employment is verified.

7) No Documentation: A no doc mortgage is just that, there is no documentation
required to be approved. This mortgage will be strictly based on the
borrower�s credit score and depth of his/her credit history.