No doc home loans are a type of mortgage loan in which the borrower doesn't have to present a lot of documentation to qualify.

In typical home loan situations, applicants must show proof of employment, financial documentation and credit history. With a no doc home loan, applicants with a high credit score may choose not to divulge specific financial and employment verification records. In exchange for such privacy, they're willing to pay a higher interest rate.

Residential home loan applicants who gain their household income from under-the-table resources, are self employed, who work part-time or on a contract basis, live off of a commission structure, do not have a steady or consistent income stream or who don't get paid with a standard paycheck may also find that a no doc loan structure is the way to go.

At the end of the day, most people don't mind divulging credit, employment and financial information in order to secure the best mortgage rates on their home loan. But for those who either can't provide such information or would rather not, in order to protect their privacy, a no-doc mortgage loan or low doc home loan is often the solution.

One type of mortgage loan in the no-doc family is the stated income mortgage loan.