Stated Income / Asset Loans

One of the most popular options in commercial real estate financing is the stated income loan, which is generally easier to obtain than traditional financing. That’s because stated income commercial lenders do not require tax returns and W-2s. These loans may require 3 months of bank statements to verify mortgage payments and rental payments. In general these are excellent loans for borrowers who want a more expedited process or tax returns may not support income on paper. The appraisal and comparable properties become very important in determining income and value of the property.

You probably already know that banks strictly require a long list of documents and proofs of income when investment properties are involved. This is why many CRE investors who can’t produce supporting documentation are unable to qualify for bank loans.