Low Doc/No Doc Financing

It means that the lender asks for no or few docs to support what the borrower claims on the 1003. Examples might be: bank statements, brokerage/investment statements, tax returns, employment verifs etc.

thanks mark, would it be fair to say that these terms are hard to come by these days with the credit crunch?
And the Form 1003 is the standard form to fill out when applying for a loan?

Before the credit crunch they had what they called stated income / stated assest loans where if your credit score was good enough you could state your income and your assests and get a loan. Those are completely gone. There are still stated income verified assest loans where you can state your income but you will need to show that you have reserve of at least 6 monthes of payments and a very strong credit score.

So you are saying that if I look in to getting conventional financing, I won't be able to get a loan unless I can prove that I have six months of payments in the bank? or are you strictly talking about stated income/assets loans?
Thanks

That is for the stated income / verified assest loans

How possible is it to get a 50% LTV based on the "after repair" value of a 17-unit building? The owner wants $140,000 for this property. A Broker told him that fixed up and fully rented, it would sell for $375,000! He isn't willing to do any owner-financing. He is behind on all his taxes and wants cash now.
Would it be best to approach a mortgage broker for this?

If this property is really worth it, you may want to check into using a hard money lender.

Please refer to the following link for information regarding this:

http://www.deangraziosi.com/node/8469

Roni

nice Roni, that's what you should do as long as your not intending on keeping the property very long, if you are planning on renting it out and rehabbing then, i would get a HARD MONEY LOAN, then REFI later, SULLY.

Wow, thanks ev1 for sharing, sure helps me get the feel of what, where, & hows 2..Great ! *winks*, Michael

Most of the lending of is done based on the LTV. That's determined by your credit scores and debt to income. The only lenders I know of that will give financing based on ARV are hard money lenders. Usually anywhere from 60-70% of the ARV.