Today there are a lot of people who work and have a good regular income, but this fact is not reflected or registered anywhere. Moreover, the client himself is not in a hurry to advertise something, since for various reasons it is necessary that the receipt of money remains “in the shadow”. Types of employment are different. So, programmers are able to make good money on website design and optimization, but 90% of these cases are listed as unemployed. It is unpleasant when a person has enough money to pay off large bank loans, but getting these loans is very problematic due to the fact that banks require documentary evidence of income. Therefore, the mortgage without proof of income for such freelance clients is a very interesting offer.
What should you first know about the mortgage “on two documents”?
To begin with, it should be said that the concept of “without confirmation of income” is rather vague in our domestic banking system. In fact, any financial institution provides a similar service to clients. Sberbank dictates some conditions, and VTB 24 – completely different. True, Sberbank has a lot of other special preferential mortgage programs. You should not be too hopeful to find that there are such and such banks issuing a mortgage without checking the borrower’s solvency:
- First, credit institutions make such offers out of the goodness of their heart, but with the aim of expanding the client base at the expense of already recalled freelancers and other people who have an unofficial income. That is, customers who can not provide a 2-NDFL certificate because they simply do not have work, and because the work is informal, it is better to go right by;
- secondly, one should not hope that one can just come to a financial institution and immediately get several million rubles for housing. Banks are neither fools nor microfinance organizations to lend to a completely untested client, and even such amounts;
- thirdly, in the absence of a standard confirmation of employment in the form of a certificate from the tax (or from the place of work) in the form 2-NDFL and employment records, there are other checks and conditions;
- fourthly, one positive condition is almost guaranteed to be compensated by a couple of negative points for the client, but more on that below.
Mortgage and in general any loan without checking the financial situation of the client is also called to loan in two documents. You will need:
- Russian passport with registration;
- the second document chosen by the client / at the request of the credit institution (driver’s license, insurance certificate of compulsory pension insurance, TIN, passport, military ID, etc.).
Additional set of documents for real estate
The client fills out a questionnaire at the branch of the selected bank (this can be done online as well). Then you still need to personally visit the institution to show the specified documents and give the employee a photocopy. However, the required package of documents to obtain a bank housing loan will increase significantly if the decision is positive. You will need to attach all the documentation to the living space selected for the purchase. This includes:
- the opinion of an appraisal firm specializes in the market, liquidation and other types of value of the selected housing;
- a report from the BTI employee (technical inventory bureau) and a cadastral passport;
- the contract of sale from the seller, if the property is purchased on the secondary market (or other documents that can confirm that the seller is the legal owner of this property);
- certificate from USRP one month ago;
- insurance policy showing that the living space is insured. Obligation of insurance and what types of insurance are needed – banks decides;
- preliminary contract of sale, where the buyer is the borrower.
Cons of such a mortgage
As already mentioned, if banks do not monitor the client’s income, it means that other, not very pleasant conditions are waiting for the client:
- the obligation of a large down payment, the size of which varies from organization to organization within 35-65% of the total amount of a housing loan. Without a down payment and in addition without evidence of an acceptable level of income, it is practically impossible to take a mortgage loan;
- the loan amount will be less by about 20% compared to the situation when a detailed check of the client’s financial position is carried out. For example, 800 thousand rubles against one million rubles;
- loan period will also be significantly less. The maximum period here does not exceed 20 years, whereas in the standard mortgage lending the maximum period is 40 years;
- interest rate will increase by 1-5% (depending on the institution).
Banks are introducing all these measures in order to minimize the risks of costs. After all, those clients who, in principle, are not able to pay for it, sometimes seek a mortgage without confirmation of income. These are not necessarily conscious scammers. Simply, many of our citizens argue in style: “Okay, now the main thing is to get money, buy a hut, and then – somehow …”. That is why in most cases, banks require real estate insurance. And in all cases, without exception, purchased housing immediately goes into mortgage banking property.
If this is a prerequisite even for those customers who provide a 2-NDFL certificate and a workbook, then what can we say about those who are trusted by banks in the matter of monthly earnings. A fairly good option is the case when the borrower can not provide official income data, but instead owns some valuable property that is suitable for providing a mortgage loan. Usually it is also some kind of real estate or a car of an average price category. But here the difficulty lies in two points:
- not every financial institution supports such options;
- not all property will be recognized by the bank as fit for pledge. So, banks do not welcome the apartments of the old series (such as Khrushchev and “Stalinok”), cars of domestic brands older than 5 years or foreign cars older than 10 years. Real estate under any type of encumbrance (arrest, other mortgage, residence of minors, etc.) is not recognized as a pledge.