5 Benefits of Using a No-doc Loan to Buy a Rental Property

Darrin Seppinni
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Streamlined, Low-interest Rental Property Loans for Savvy Investors

Traditional mortgage loans are challenging for rental property investors. Not only do they come with endless documentation (often income and employment-related docs you don’t have!), but they also require tax returns — and these rarely reflect an investor’s income fully or accurately.

The result is often a long, time-consuming, and tedious process, and usually a more expensive one, too.

Fortunately, these traditional loans aren’t the only option anymore, and investors now have access to “no-doc” rental loans instead. These are mortgages specifically meant for non-traditional earners like rental property investors, as they require no tax returns, no W-2s, and no income documentation whatsoever.

Ultimately, this means a faster loan process, better terms, and an easier way to access financing for investors. Are you considering buying a new rental property using a no-doc loan? Here are just a few of the benefits you’ll enjoy when you do:

Low Interest Rates For Many Years

No-doc rental property loans with HomeLife start as low as 3.875% on 30-year, fixed-rate terms. That means consistently low rates and steady monthly payments for the long haul — an ideal arrangement for investors looking to buy and hold a rental property.

Quick Closing Times

Unlike traditional mortgage loans for investors, no-doc loans offer efficient, quick, and painless timelines. Investors can get pre-approved for a loan in just 24 hours or less, and closing is guaranteed by day 30 — or earlier.

Small Down Payments

Most loan programs charge a premium for investor mortgages (or any type of “riskier” borrower, for that matter). With these no-doc loans, you can pay as little as 20% down and still qualify for low rates and extended terms.

Flexible Term Options

No-doc mortgage loans come in several term options. While many choose the standard, 30-year, fixed-rate term, you can also opt for a longer, 40-year term as well. This comes with a 10-year interest-only period at the outset (meaning more cash in your pockets) and then transitions to a fully amortized loan for the remaining 30 years of the term.

No rents or leases required

There are several options with no-doc loans. You can qualify based on your Debt Service Coverage Ratio (DSCR), which takes into account your projected monthly mortgage costs plus an appraisal of your property’s market rent, or you can do a no-DSCR loan, which requires a 25% down payment. Either way, there’s no lease required.

Apply for your no-doc rental property loan today

Are you ready to buy your next investment property? Don’t want to deal with the hassles and headaches that come with traditional financing (or the documentation it requires)? Then reach out to HomeLife today. We’ll get you pre-approved in just 24 hours.


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About HomeLife Mortgage

For more than 25 years, HomeLife Mortgage has built a strong reputation in California and Florida as a leading mortgage broker, servicing the needs of borrowers who have been unable to obtain conventional financing.  HomeLife Mortgage is at the forefront of non-bank lending offering the next generation of mortgages including Jumbo Loans, Real Estate Investor Loans, and Bank Statement Loans.


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