Conforming lenders have a very structured method for determining income types. Generally, they require full documentation of income for the basis of qualification. Current year to date income is documented using 30 days worth of pay stubs from the borrowers current employer. The previous 2 years employment and income must also be verified with W2's.
Non-conforming and sub-prime lenders offer different variations of income types, including Stated Income / Verified Assets, Stated Income / Stated Assets and No Income Verifcation loans. In these cases, the income is "stated" on the mortgage application and in some cases, is not listed at all. Please contact Northlawn Financial to speak with a mortgage specialist for more information.
