No-Doc Mortgage Rate Premium Calculator

No-doc and bank-statement loans typically charge 1.0-2.5% over conventional. This calculator shows the premium in dollars, lifetime extra cost, and whether the rate makes sense vs documenting income properly.

Typical 1.0-2.5%
No-Doc Rate
Extra/Month
Lifetime Premium
Full-doc monthly P&I
No-doc monthly P&I
Extra monthly payment
Full-doc lifetime interest
No-doc lifetime interest
Lifetime premium paid
Ad Space

No-doc mortgages (bank statement, asset-only, P&L-only, stated income) skip traditional W-2 / tax-return verification in exchange for a 1.0-2.5% rate premium. They serve self-employed, retirees on assets, and gig workers who can't show conventional income docs.

Doc Types Ranked by Premium

Lowest premium: 12-24 month bank statement loans (~1.0% over conventional). Middle: P&L-only with CPA letter (~1.5%). Higher: asset-only / DSCR for investment property (~1.5-2.0%). Highest: stated income (~2.5%+, rare post-Dodd-Frank).

Why the Premium Exists

Lenders portfolio these loans (can't sell to Fannie/Freddie). They charge for the risk of weaker income verification and the cost of holding the loan. Most non-QM loans require 20-30% down and 700+ FICO.

Bank Statement Loan Math

Lender averages 12-24 months of bank deposits, applies an expense factor (typically 50% gross income for service businesses, 25% for high-margin businesses), and uses that as qualifying income. Many self-employed qualify for more than tax returns would allow.

When No-Doc Makes Sense

Self-employed with low taxable income but strong gross deposits. Retirees living on portfolio (asset depletion). Real estate investors qualifying on property cashflow (DSCR loans). Most W-2 employees should stick with conventional.

Last updated May 2026. Sources: CFPB ATR/QM Rules.