What more are you needing from the self-employed when getting a mortgage

DDA Mortgage • August 29, 2022

If you are self-employed, getting a mortgage can be stressful. Know that it doesn't have to be. Yes, the process is different than if you had a conventional job and may require different documentation. But you can get approved if you are committed to buying a home.


Here are some things to know that can make the process easier for you.



How Much Money Can You Borrow For Your Home?


The first thing is finding out if you qualify for a loan in the first place. Talk to a mortgage expert. Let them crunch your income and debts to determine how much you can borrow.


It's not easy being self-employed when it comes to mortgages because so many things come into play.


  • What percent of the business do you own?
  • Are you taking draws that adversely affect the business?
  • How reliable is the income from the business?
  • Is the business seasonal? High-risk? or Established?


Your mortgage broker can ask some questions about your circumstances and help you determine your price range.



Get Ready For A Letter Request


The best way for lenders to answer these questions is by requesting a letter from your CPA. This is standard practice. Don't take these questions personally. It is just part of the due diligence of the lender.



Transcripts


You will also have to get transcripts from the government. DDA Mortgage can help you through this process; however, you will need to get the transcripts. Start this process as soon as possible. The government is backed up, and it can take some time to execute a request.


If you are self-employed, getting a mortgage can be a little more tricky than your typical W2 employee. This is why you need a team of experts to help you throughout the process.


When you have a great team, you will get the best terms at the best rate for your circumstances.




Next Steps


If you are self-employed and need a mortgage, call us now a (727) 784-5555. We will get you approved and close quickly without unexpected surprises.


If you have questions about mortgages for self-employed individuals, please ask using the form below.


Ask a Question

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