All Posts Tagged With: "income"
Foreclosure Numbers at New Highs: Are Toxic Loans To Blame?
Foreclosures used to be a rarity and for the most part that’s still the case. As of the second quarter of 2008 only about 2.75 percent of all loans were in the process of being foreclosed, according to the Mortgage Bankers Association. That term “in the process of being foreclosed” is important. Neither borrowers nor [...]
19Sep2008 | Peter G. Miller | 0 comments | Continued
Let’s Make Military Incomes Tax-Free
The past few weeks have seen battles on two fronts, the fight to take Iraq and the debate in Washington regarding how best — if at all — to cut taxes. Allow me to confess that I am one of those opposed to tax-relief for the rich, my thinking being that our gilded elite have [...]
17Sep2008 | Peter G. Miller | 0 comments | Continued
Should Lenders Dump No-Tell Loans?
For many years the lending process has become less and less rigid. In the general case this is a trend to be welcomed, but the question to be asked is this: Have we gone too far? With “stated income” loans borrowers tell the lender how much they make but the lender graciously does not verify [...]
16Sep2008 | Peter G. Miller | 0 comments | Continued
Will Regulators End Liar Loans?
With foreclosures rising and home prices falling, could something other than supply and demand be moving the real estate market? That’s a question increasingly being raised in Washington, where a new interest in mortgage fraud is beginning to emerge. “Mortgage fraud takes many forms,” says Jim Saccacio, Chairman and CEO at RealtyTrac.com, the nation’s largest [...]
1Sep2008 | Peter G. Miller | 0 comments | Continued
Can I Get A Mortgage If I have Tax-Exempt Income?
Lenders have a wonderful expression which explains how non-taxable payments are handled — they are “grossed up.” This means that if you take in $1,000 in tax-exempt payments and state and local taxes are 17 percent, it would take an income of $1,204.82 to have a $1,000 income after taxes. The lender would compute the [...]
31Aug2008 | Peter G. Miller | 0 comments | Continued
Is Bonus Income Okay With Lenders?
If bonus income is steady and expected to continue, generally yes. For details and required paperwork, speak with loan officers. Be sure to ask about verification requirements. Technorati Tags: bonsu, income, mortgage, overtime, qualification, qualify, verify
30Aug2008 | Peter G. Miller | 0 comments | Continued
Must I Tell Lenders About “Other” Income?
Question: Must I tell lenders about income from child support, alimony, or separate maintenance? Answer: If you receive child support, alimony, or separate maintenance you do not have to report such income. That said, you should because the more income you can show the more readily you can qualify for financing or a larger mortgage. [...]
30Aug2008 | Peter G. Miller | 0 comments | Continued
What Are “Front” and “Back” Ratios?
Different loan programs use different calculations, or ratios, to qualify would-be borrowers. The “front” ratio is generally equal to your monthly costs for principal, interest, property taxes, and property insurance (what lenders call “PITI”). The “back” ratio includes the front ratio plus all regular monthly costs such as credit card payments and auto payments. For [...]
28Aug2008 | Peter G. Miller | 0 comments | Continued
What Is “Qualifying Income” For A Mortgage Loan?
In general, your income is all money reported to the IRS for the last two or three years as well as your income to date for the current year. There are some qualifications. For instance, it must be expected that your income will continue at or above current levels. It’s possible that your income for [...]
28Aug2008 | Peter G. Miller | 0 comments | Continued
Can I Get A 1 Percent Mortgage From My Parents?
A 1 percent interest rate raises some concerns. If the market interest rate is 8 percent, for example, and you’re paying 1 percent, then we do have a fair market interest level? The interest not paid — the missing 7 percent — may well be regarded as “imputed” and income to your parents, even though [...]
28Aug2008 | Peter G. Miller | 0 comments | Continued
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