Escrow & Title
What is a 'no-doc' closing and why is it rare in Nevada today?
AA closing with no documentation required
BA closing using minimal documentation, common pre-2008 and now rare due to post-crisis regulations requiring full documentation of income and assets for qualified mortgages✓ Correct
CA closing where documents are reviewed by no one
DA closing conducted entirely online without paper documents
Explanation
Pre-2008, many Nevada lenders offered loans with minimal income documentation. Post-crisis, the Dodd-Frank Act's Ability-to-Repay rule requires documentation of income, assets, and employment for qualified mortgages.
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Key Terms to Know
Private Mortgage Insurance (PMI)
Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
Pre-ApprovalA lender's conditional commitment to loan a specific amount to a borrower, based on verified income, credit, and assets.
DeedA written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
EasementA non-possessory right to use another person's land for a specific purpose.
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