Are you or your Buyers Self-Employed and having trouble?

By
Mortgage and Lending with The Mortgage Centre

Alot has changed in the mortgage world since 2009's financial crisis and lender tightening. More and more self-employed people have been phoning me, frustrated with their banks and because they're not cut and dry, feeling like they're getting the brush off by bankers too busy focusing on easier stuff like account openings or credit card promotions.

Yes, it has gotten tougher these days with CMHC and other insurers pretty much wanting a blood sample if anyone dares apply under their "self-employed simplified" program. No more stated income programs unless you're a new Doctor with less than 2 years financials....everyone else...no such luck. There is another way. Many lenders allow for what's called "add backs" onto a Buyer's NOA line 150 taxable income. How much you ask? Well, that's where it gets tricky and I must admit a bit boring...what we can add back and how much and with who is not a cookie cutter recipe. Scotiabank, TD, RBC, Merix, MacQuarie, BMO, credit unions etc all have such varrying policies that a self-employed Buyer may qualify for 200K at one lender and 325K at another! 

I love helping people navigate through the clutter and find the best solutions!bank amounts vary depeding on where you go

 

Comments (12)

Scott Leaf Personal Real Estate Corporation
Keller Williams Elite Realty, Port Coquitlam, BC - Port Coquitlam, BC
Scott Leaf & Associates Real Estate Team

Great start, looks very nice!  May I suggest working in some geographic references so that you attract people in the area.

Jan 07, 2010 04:35 PM
Anthony Ebright - NMLSR ID #247647 Purchase and Refinance Mortgages
FHA, VA, Conforming, Jumbo - Wells Fargo Home Mortgage - Santa Rosa, CA

Ralna, welcome to AR! Scott was kind enough to introduce you to the AR community. Keep writing and you will find the process will get easier. Best Wishes!

Jan 07, 2010 05:17 PM
Rebecca Gaujot, RealtorĀ®
Lewisburg, WV
Lewisburg WV, the go to agent for all real estate

Ralna...welcome to AR and your first post looks great...wishing you much success.

Jan 07, 2010 05:23 PM
Karen Anne Stone
New Home Hunters of Fort Worth and Tarrant County - Fort Worth, TX
Fort Worth Real Estate

Ralna:  Welcome to Active Rain.  And congratulations on writing your first post.  I can see from what you have written that you really know your stuff.  I think you will find Active Rain to be a great source for you.  It's a great place to learn, to share, and to meet some really great people.  Again... Welcome !

Jan 07, 2010 05:33 PM
Cameron Novak
The Homefinding Center - Corona, CA
Featured Corona Real Estate Agent Team

Welcome.  Take Scott's advice about the geo key words.

Good luck,

Cameron
Corona Real Estate Agent
Corona, California

Jan 07, 2010 06:23 PM
Fernando Herboso - Broker for Maxus Realty Group
Maxus Realty Group - Broker 301-246-0001 - Gaithersburg, MD
301-246-0001 Serving Maryland, DC and Northern VA

Great information Ralna. . love those graphics. Welcome to Activerain!!!

Jan 07, 2010 09:50 PM
Jason Rose
123 ConEd LLC -- Michigan real estate continuing education - Farmington Hills, MI
www.123ConEd.com

Welcome to ActiveRain, Ralna, and congratulations on your first post! This is a great website that's full of interesting and insightful information.  Have fun and enjoy!

Jan 08, 2010 01:13 AM
Florida Real Estate Expert
Jensen Beach, FL

Welcome to ActiveRain.  I've used this resource to find contacts, vendors and advice.  It is tremendous for getting enhanced ranking on Google as welll.  My business has increased becaue of Active Rain.  You just need to keep at it.

Jan 08, 2010 02:56 AM
R. Greg Osmond
Sutton Group-Capital Realty Ltd. - St Johns, NL
MBA, Red Maple Realty

Hi Ralna,  Welcome to ActiveRain.  Good first post.  You have begun a life long journey.  Enjoy!

Jan 10, 2010 08:51 AM
Yvette Gardner
Keller Williams Realty, Spartanburg, SC - Spartanburg, SC

Welcome to Active Rain and congratulations on your first post.  It looks like you're off to a great start.  We hope you enjoy A/R as much as we do.  There are many opportunities to share your knowledge and learn from others. Take care, Yvette & Dennis

Jan 12, 2010 01:08 PM
Sergio Rebollo Jr.
Real Estate TeamMates - Miami, FL

Welcome to ActiveRain. This is a great community to network with others as well a great place to learn from other's experiences and knowledge. I've enjoyed it; I hope you enjoy it as well.

Jan 12, 2010 02:57 PM
The Trumm Team Omaha Homes for Sale, Real Estate
Keller Williams Greater Omaha - Omaha, NE

Welcome to ActiveRain!

If you would like a few tips on getting the most out of ActiveRain, simply follow these steps:

1. At the very bottom of this comment click "Omaha Real Estate & Omaha Homes for Sale - The Trumm Team (Keller Williams Real Estate)" which will take you to my profile.

2. Click My Blog

3. On the right hand side click the Tags dropdown menu and select "Welcome to Active Rain"

This will take you to my blog on how to get the most out of ActiveRain.

If you ever have any questions, just let me know.

Troy Trumm, Trumm Team - 402-943-9494, Omaha NE

Omaha Homes For Sale

Omaha Real Estate

Jan 15, 2010 01:22 PM