- Income documents
- None
- Debt-to-income ratio
- Not calculated
- Down payment
- Larger, commonly 20% to 30%
- Availability
- Mostly investment properties
What it is
On a no income loan, sometimes called a no-ratio loan, income is left off the application. Approval rests on your credit, down payment and cash reserves.
How it works with a broker
With no income to evaluate, lenders lean on what they can measure: your credit history, how much you are putting down and how many months of payments you hold in reserve.
These programs are offered mainly for investment properties, and each lender sets its own limits on occupancy. I will tell you plainly whether one fits your purchase.
Common questions
Is this the same as a DSCR loan?
No. A DSCR loan qualifies on the property's rent. A no income loan does not use rent or personal income.
Can I use one for the home I live in?
Options for owner-occupied homes are limited and depend on the lender. A bank statement or asset depletion loan is usually the better fit.
Figures shown are typical guidelines and can vary by lender, credit profile and property. They are not an offer or commitment to lend.
Find out what you qualify for.
Answer a few questions and I will come back with real options, usually the same day. It takes about two minutes and does not affect your credit.