Your FREE ACTIVE REAL ESTATE FORECLOSURES FOR SALE IN BIRMINGHAM AL– 11/06/2012list has been posted.
These are Single Family Homes ‘Active’ on the Mobile AL MLS. These homes are ripe for the picking. DO NOT LET THEM PASS YOU BY…ACT NOW….BEFORE IT IS TOO LATE!!!
I hope you have an awesome day, packed with smiles while searching for your active Mobile AL Real Estate Dream.
This is a real life question that was posed to me and I decided to publish this for informational purposes. As always, it is wise to consider consulting a Mortgage Professional.
Q: We are doing some family changes and it requires my husband to stay home for a while. I heard he has to be working for at least six months for his income to be considered. Is that correct?
A: You and your stay-at-home-dad-to-be hubby exemplify the flexible family roles of a modern American family.
Six months should work. Based on current guidelines, which are subject to change, most lenders require that a gap of employment longer than three months be followed up by at least six months of employment before the income of the borrower with the employment gap can be considered toward qualifying for the home loan.
Lenders still require your last two years of income tax returns, but will generally look to your average monthly income from the last few months so long as they are provided with verification that your husband’s been back to work for at least 180 days.
There are caveats. The six-month green light assumes that your husband goes back to work in the same field as he worked in before. Most lenders have a two-year “same line of work” requirement; the employment gap doesn’t disqualify his income from counting, so long as he’s been in the same line of work for at least two years.
If your husband is looking to change lines of work, he will need to prove that he’s been in the field for two years before they will count his income. Time spent enrolled in an educational course does count toward the two-year “same line of work” requirement.
Commissions, overtime, bonuses and other employment compensation beyond the base salary cannot be counted toward your ability to repay your mortgage without a two-year paper trail documenting the extra income.
Similarly, if he goes back to work in his own business, he might be required to document his self-employment via 2 years tax returns.