What is Considered Qualifying Income When Buying a Home?
By Dave and Patricia Zumbrun
(The "Z" Team 4 RE, Inc.)
Buying a Ventura home involves many components. You need to save up for your down payment and closing costs. Then, do you choose a fixed-rate or adjustable-rate mortgage? As of the writing of this post, 30-year fixed-rate mortgage sit at an average interest rate of 6.32%. One of the aspects lenders consider when deciding whether to approve you for a loan or not is affordability. One of the biggest factors of affordability is your income-to-debt ratio. You need to show two years of steady income to qualify for a mortgage loan. But it might surprise you about what lenders consider "qualifying income".What is Considered Qualifying Income?Wage Paid by an EmployerDuh! Of course, any income an employer pays you is considered income by a lender. You can prove this with your W-2s, paycheck stub...
Comments
2