| For those of you who are searching out bad | | | | The third secret is to know how underwriters |
| credit mortgages we would enthusiastically point | | | | look at second jobs. Many people are working |
| you to an FHA or VA mortgage product. The | | | | two jobs in this economic recession and although |
| reason for this is because the guidelines allow | | | | it may be helping their month to month bills, it |
| borrowers with less than perfect credit some | | | | may not help you qualify for a house. Underwriter |
| leeway with the stringent approval process. When | | | | will only count your second job only if you have |
| trying to qualify for a FHA or VA loan there are a | | | | worked at your first job for over 2 years. Also |
| few secrets that you should know to help you | | | | the first job that you have been working must be |
| get approved quickly. | | | | a full time job to be able to count the second |
| The first secret is knowing when overtime can be | | | | part time job. By not knowing this you could really |
| counted in your income calculation. The only way | | | | throw off your ratios and trick yourself into |
| you can count your overtime is if you have been | | | | thinking you are going to qualify, when in reality |
| working at that same job for 2 years or more. If | | | | you may not qualify at all if you have not worked |
| you have worked at that job for less than two | | | | your first job for over 2 years. |
| years an underwriter will just skip right over the | | | | The fourth secret to know is that underwriters |
| overtime YTD section of your pay stubs. | | | | require your last 2 years of w2's or tax returns if |
| The second secret is knowing how underwriters | | | | you are self employed. The reason for this is that |
| calculate your income. It is not as easy as just | | | | an underwriter adds the total gross income for |
| telling them what you make per hour and how | | | | both years and averages them out. The reason |
| many hours you work a week. An underwriter will | | | | this is important is because if you significantly |
| write down how long you have been working at | | | | made a lot more this year than you did the |
| your job and go straight to your YTD income of | | | | previous year, the underwriter will average your |
| your latest pay stub. They take this number and | | | | income and not calculate your income at what |
| divide is by how many months have passed for | | | | you currently make. |
| the current year, or by the amount of months | | | | By knowing these secrets you can save yourself |
| you have been at the job for the current year. If | | | | a lot of underwriting surprises and go into a loan |
| you have worked inconsistent hours this number | | | | application appointment with confidence knowing |
| can be very different that what you think you | | | | that you will be approved. |
| make per month. | | | | |