A mortgage implies pledging of the property/real estate of the borrower to the lender against the mortgage loan drawn. There exist several options for mortgage that include fixed rate mortgage, balloon mortgage loan, wrap-around mortgage, simple interest mortgage, dual index mortgage etc. the non-status mortgage is another type of mortgage loan that features certain advantages and benefits. A non-status mortgage or non-status re-mortgage is issued to an individual even he does not have an income proof to provide or a mortgage history to rest back on.

Features of non-status mortgage deals

A non-status mortgage transaction is the perfect deal for those who do not wish to disclose their income. There isn’t any need for an income-proof statement to be submitted. Those facing low-profit situations or bad credit scores can get through the non-status mortgage procedures without much hassle. Many people who are on short-term employment contracts face issues obtaining mortgages. This doesn’t happen in case of non-status mortgages. However, small mortgages are issued under these mortgage deals. Plus, a number of rigid rules apply to them.

The lender issuing a non-status mortgage secures his position by offering these deals at a reduced ‘loan to value’ cover up. High-street lenders issue such mortgages with a number of rigid terms levied on them.