Written Verification of Employment (WVOE) Loan

A Written Verification of Employment (WVOE) Loan is a type of mortgage that allows borrowers to qualify based solely on a written verification of employment from their employer, rather than using traditional income documentation like pay stubs or tax returns.

This loan is ideal for W-2 employees who may have variable income, bonuses, or commissions that are difficult to document through regular pay statements.

Who Can Benefit from a WVOE Loan?

✅ W-2 Employees with non-traditional or fluctuating income.
✅ Workers with Bonuses, Commissions, or Overtime Pay that is not easily reflected in tax returns.
✅ Employees with Limited Pay Stubs or Recent Job Changes.
✅ Nurses, Sales Professionals, and Hospitality Workers who rely on bonuses or tips.
✅ Borrowers Seeking an Alternative to Full Income Documentation Loans.

Key Features of WVOE Loans

✔ No Need for Tax Returns or Pay Stubs – Only a written employer verification is required.
✔ Flexible Qualification Criteria – Beneficial for borrowers with variable or commission-based income.
✔ Fast Approval Process – Less documentation speeds up underwriting.
✔ Fixed & Adjustable-Rate Options – Available with competitive interest rates.
✔ Used for Home Purchase or Refinance – Can be applied to primary homes, second homes, or investment properties.

Typical Requirements for a WVOE Loan

📌 Employer-Signed WVOE Form – Confirms job status, income, and employment history.
📌 Credit Report & Score – Higher scores may qualify for better interest rates.
📌 Debt-to-Income (DTI) Ratio – Usually below 50% for approval.
📌 Employment Stability – Typically at least 2 years in the same industry is preferred.
📌 Asset Verification – Some lenders may request bank statements to confirm financial stability.

Why Choose a WVOE Loan?

🔹 Easier for Employees with Non-Traditional Income – Great for workers relying on bonuses, overtime, or commissions.
🔹 No Need for Full Income Documentation – Helps those who may have tax write-offs that reduce taxable income.
🔹 Streamlined Approval Process – Less paperwork compared to full-doc loans.