A no income verification home equity loan is a second mortgage loan that does not require you to provide income documentation to qualify for the loan. This type of loan is dazzling for homeowners who need a home equity loan but have hard to document income.

The majority of borrowers with hard to document income are either self-employed or commission based employees. Consumers who fall under these categories can have high income but have a lot of business related deductions that they write off on their taxes. This is sizeably workable on the one hand as it reduces the taxable income and thus the amount of taxes owed, however, when it comes to grasping a home loan it may hurt as most lenders make use of the average of your last 2 years taxable net income (the amount left after all of your deductions) to determine your income figure for qualifying purposes. This might cause you to have a debt to income ratio problem if you have a high debt load and thus keep you from qualifying for the loan. With a no income verification home equity loan, however, your gross income could be used for qualifying purposes as opposed to the net income.

In order to qualify for a no income verification home equity loan you will, in most cases, need sizeably workable credit and a high credit score. Expect to pay a higher rate for this type of loan as opposed to a traditional loan in which you have to document your income. Also, even though a no income verification loan does not require you to document your income, some lenders can require that you have a certain dollar assessment of worth of assets on hand which must be verified. Not all lenders have this requirement though - some lenders offer a code called NINA which stands for "no income no assets" meaning you do not have to document either. Loan guidelines and rates vary from lender to lender so it is a great idea to shop around to increase your chances of getting the best deal available to you.

For more data on no income verification home equity loans, or to compare rates and programs ofhome equity loan lenders visit http://www.equityloansource.com