Self Employed Mortgage Loan – Getting a Mortgage When You Are Self EmployedPosted by: Ashton Coaldrake | Posted on: January 9, 2020
Being self-employed has many benefits. When you work alone, you can write off all your pieces on your taxes. You have the potential to make more income than a person employed by others.
Here are some things to know that can help you make the mortgage loan process go smoothly when you're working alone. You can also visit https://www.comparez.com.au/home-loan-bad-credit-score to get more information about bad credit self-employed mortgage loans.
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When verifying income – In general, lenders want to see at least 2 years of work history themselves; sometimes they want to see three years.
They will want to see this history verified in tax returns, Sometimes the lender will be looking for some of the write-offs or deductions back into your income.
There are ideas of other ways that lenders may be able to verify your income and if you work alone it will help you to be able to show more of your income.
Use bank statements as proof of income – Find a lender who will accept 1-2 years of bank statements as proof of income. It is becoming more common nowadays for lenders to verify your income in this way.
This method usually works better in proving their income rather than go off on your taxes, because you usually can prove cash flow more than the tax would indicate.
B. Do the income stated or no doc loan – loan type carried out all the time, where you do not need proof of income, you only state in what form your income, and you do not need to verify it.