A mortgage that requires less income or asset verification than conventional loans. Low-doc loans are designed for the entrepreneur or self-employed, for recent immigrants, or for borrowers who cannot or choose not to reveal their financial information. A substantial down payment and excellent credit history are generally required. This type of loan will also yield a higher interest rate.
A mortgage that requires only minimal verification of income and assets.
A mortgage that requires less verification of income or assets (or both) than a conventional loan. Low-documentation loans are designed for the entrepreneur or self-employed, for recent immigrants with money in foreign countries or for borrowers who cannot or choose not to reveal information about their incomes. You need a substantial down payment, excellent credit history and will usually pay a higher interest rate.
Low-documentation loans are designed for the entrepreneur or self-employed, who do not or cannot verify steady income. Low-doc loans cost more than those in which income can be verified.