No Doc Mortgage Companies? Any Good Suggestions?

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Chris MasonPro Member
Moderator
Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes
4y

Now isn't the time to rely on "no doc" or "non-qm" or "subprime" mortgages. Those are only reliable in a bull market. We saw the bottom drop out of them in March 2020 when they more or less stopped existing until the Fed turned the money printing presses on.

And, that's happening again. I've received at least a dozen variations of the exact email below just in the last week. For context, a normal 1 week rate lock extension is something like 0.14% of the loan amount in extra fees. Check this out:

And, having played this game before: the underwriters at all the non-qm lenders are about to add extra conditions and BS, they will find "reasons" why your loan isn't cleared to close, and have slower turntimes, to ensure that you will ALWAYS need an extension, and/or blow the rate lock and lose the loan entirely, at the 11th hour (after you've removed all contingencies). 

The next step is for the rug to be pulled out entirely, loan denials even when loan docs are out for your signature with the notary, it happened in 2008, it happened in March 2020 (until the Fed $ printers were turned on), and I wouldn't be at all surprised if now (that the $ printers are off again) it happened again, and BOOM there went your $20,000 earnest money deposit, forfeit to the seller, with no practical recourse against the bank (no serious lawsuits or settlements came of it in 2008, or March 2020).

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  • Kristen L GarnerBusiness Member
    Lender · Phoenix, AZ · Member since 2021 · 451 posts · 287 votes
    4y

    Hi Brian, 

    I utilize some products that are very low-doc, but not zero-doc.  They require: drivers license, a bank statement showing proof of funds for the purchase, copy or mortgage / insurance for any properties you do own.  These options do not verify income, require tax docs, etc. Happy to chat more if you want to PM 

    -Kristen

    [email protected]213-880-0434
    1Reply
  • Kristen L GarnerBusiness Member
    Lender · Phoenix, AZ · Member since 2021 · 451 posts · 287 votes
    4y

    Hi Brian, 

    I utilize some products that are very low-doc, but not zero-doc.  They require: drivers license, a bank statement showing proof of funds for the purchase, copy or mortgage / insurance for any properties you do own.  These options do not verify income, require tax docs, etc. Happy to chat more if you want to PM 

    -Kristen

    [email protected]213-880-0434
    1Reply
  • William Stewart
    Rental Property Investor · Fort Mill, SC · Member since 2019 · 76 posts · 23 votes
    4y

    @Kristen L Garner do you lend on manufactured homes deeded to the land 

    0Reply
  • William Stewart
    Rental Property Investor · Fort Mill, SC · Member since 2019 · 76 posts · 23 votes
    4y

    @Kristen L Garner do you lend on manufactured homes deeded to the land?

    0Reply
  • Kristen L GarnerBusiness Member
    Lender · Phoenix, AZ · Member since 2021 · 451 posts · 287 votes
    4y

    I can lend on manufactured homes deeded to the land, but not through DSCR. @William Stewart If you are still interested feel free to PM with some further details so I can find a fit for your scenario. 

    [email protected]213-880-0434
    0Reply
  • Jared RineBusiness Member
    Lender · Sacramento, CA · Member since 2009 · 1k+ posts · 277 votes
    4y

    @Brian Patrick ..I agree with @Kristen L Garner

    Any loan program claiming 'no-doc' is not necessarily completely no documents. It's not possible to write a loan with a hard absolute no documentation. There'd be no way to qualify or mitigate risk. The other question is this for owner occupied or non-owner/investor? In either situation, 'no-doc' usually means no personal income documentation with no income/no employment/no DTI run/no or less verification/etc., but that doesn't mean there's nothing to collect.

    Jared Rine United Lending Partners53 Reviews
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    1Reply
  • Adeva Edobor
    Banker · Huntington Beach, CA · Member since 2018 · 99 posts · 100 votes
    4y

    @Brian Patrick No doc may just mean no income docs to prove monthly payments. If you're buying an investment property, you may be able to qualify based on the projected rents alone. So you may not even need to have a job or income. Just cash for the down payment and the property will do the rest. DM me. I may be able to help

    1Reply
  • Jesse McNamara
    Real Estate Agent · Southern Oregon · Member since 2022 · 16 posts · 1 vote
    4y

    Great question! I’m an agent and rookie in Oregon. I see @Kristen L Garner, you’re not licensed in my state, but can you still offer these loans in Oregon? If not, any referrals?

    Thanks!!

    0Reply
  • Kristen L GarnerBusiness Member
    Lender · Phoenix, AZ · Member since 2021 · 451 posts · 287 votes
    4y

    I offer these in Oregon! @Jesse McNamara 

    [email protected]213-880-0434
    1Reply
  • Jesse McNamara
    Real Estate Agent · Southern Oregon · Member since 2022 · 16 posts · 1 vote
    4y
    Quote from @Kristen L Garner:

    I offer these in Oregon! @Jesse McNamara 

    Great, I’ll reach out shortly.
    0Reply
  • Eric GoldmanBusiness Member
    Lender · PA · Member since 2019 · 357 posts · 190 votes
    4y

    no doc really means different things. typically, you will need to fill out an application. submit  bank statements. lender pulls your credit report. submit llc docs. sign a bunch of stuff. 

    484-574-4878
    G2loans- Investor and Commercial Mortgages531 Reviews
    WebsiteView Page
    1Reply
  • Raymond J. RodriguesBusiness Member
    Lender · Miami, FL · Member since 2017 · 1k+ posts · 797 votes
    4y
    Quote from @Brian Patrick:

    Hi, 

    Does anyone know of a good bank for no-doc mortgages? I've looked into Quontic but I don't think their product is truly "no-doc". 

    I’ve seen a few no doc loans that qualify you solely based on credit score, loan to value and reserves after purchase. These programs generally require 20% down. 
    [email protected]619-456-8311
    Helm Mortgage Corp.5125 Reviews
    WebsiteView Page
    0Reply
  • Chris MasonPro Member
    Moderator
    Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes
    4y

    Now isn't the time to rely on "no doc" or "non-qm" or "subprime" mortgages. Those are only reliable in a bull market. We saw the bottom drop out of them in March 2020 when they more or less stopped existing until the Fed turned the money printing presses on.

    And, that's happening again. I've received at least a dozen variations of the exact email below just in the last week. For context, a normal 1 week rate lock extension is something like 0.14% of the loan amount in extra fees. Check this out:

    And, having played this game before: the underwriters at all the non-qm lenders are about to add extra conditions and BS, they will find "reasons" why your loan isn't cleared to close, and have slower turntimes, to ensure that you will ALWAYS need an extension, and/or blow the rate lock and lose the loan entirely, at the 11th hour (after you've removed all contingencies). 

    The next step is for the rug to be pulled out entirely, loan denials even when loan docs are out for your signature with the notary, it happened in 2008, it happened in March 2020 (until the Fed $ printers were turned on), and I wouldn't be at all surprised if now (that the $ printers are off again) it happened again, and BOOM there went your $20,000 earnest money deposit, forfeit to the seller, with no practical recourse against the bank (no serious lawsuits or settlements came of it in 2008, or March 2020).

    2Reply
  • Elyse Simpson
    Lender · Joliet, IL · Member since 2021 · 33 posts · 7 votes
    4y

    Hey, Brian! I sent you a message.

    0Reply
  • Kerry BairdPro Member
    Rental Property Investor · Melbourne, FL · Member since 2011 · 3k+ posts · 2k+ votes
    4y

    @Chris Mason, thanks for sharing that nugget.  Yikes!

    0Reply
  • Account Closed
    Investor · Scottsdale Austin Tuktoyaktuk · Member since 2021 · 4k+ posts · 4k+ votes
    4y
    Quote from @Brian Patrick:

    Hi, 

    Does anyone know of a good bank for no-doc mortgages? I've looked into Quontic but I don't think their product is truly "no-doc". 

    Banks doing "No Doc Mortgages" 

    You might try Washington Mutual, IndyMac, Franklin Bank, Ameribank, Downey Savings & Loan, Alliance Bank,  in fact here is a list 

    https://en.wikipedia.org/wiki/List_of_bank_failures_in_the_United_States_(2008%E2%80%93present)

    0Reply
  • Mike Davis
    Lender · Annapolis, MD · Member since 2022 · 154 posts · 70 votes
    4y

    @Brian Patrick I have no doc programs in Ga.

    0Reply
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