Posted on: 19th Jul, 2009 02:03 pm
When to use stated income home mortgage loans?
Stated income home mortgage loan is a type of reduced documentation mortgage program which allows the borrower to state on the loan application what their income and assets are without verification by the lender; however, the source of the income is still verified
borrowers whose income come from sources which are hard to document might use a SISA loan.
borrowers whose income come from sources which are hard to document might use a SISA loan.
For additional clarification...
SISA (Stated Income and Stated Asset) loans are for borrowers who cannot verify either their income OR their assets.
SIVA (Stated Income and Verified Asset) loans are for borrowers who only have a problem verifying income.
In most instances, the rate on a SIVA loan will be lower than a SISA loan because of the additional risk that the lender is taking on.
SISA (Stated Income and Stated Asset) loans are for borrowers who cannot verify either their income OR their assets.
SIVA (Stated Income and Verified Asset) loans are for borrowers who only have a problem verifying income.
In most instances, the rate on a SIVA loan will be lower than a SISA loan because of the additional risk that the lender is taking on.
