Are we considered self employed for mortgage qualification?

It's not really a question of whether you are self employed or not. Income calculation would take gross wages as shown on W-2 less the loss apprearing on the K-1. Happy to help work through it. Briggs Cline. Buckhead Home Loans. 404-303-7411. www.buckheadhomeloans.com

You will be considered a w2 employee, however, because you have a part ownership in a company losing money, your portion of the loss (K-1's) will be deducted from your w2 wages.. If you own 20% of the company, you will have to deduct 20% of the losses... however, if there are company expenses that are paid through the company, but appears on your credit report, then those payments can be deducted out of your ratios. Example:.. Company pays for your car payment. If you can prove the payments are paid through the business, they will take the car payment out of your DTI.. There other ways to increase your income, but would take too long to explain here.. Best advice I can give you is to contact a LOCAL mortgage broker and apply with them. Not the local "Big" bank, and certainly not one of those 50 states internet lenders...By applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with numerous lenders, seeking out the best loan terms for your particular scenario. Because he has lower overhead, he can offer you lower rates and lower fees than most of the larger lenders.. He can look at your complete profile and show you how much income the lender will use to determine your ratios, and ultimately showing you how much home you can afford. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

IF you own less that 25% you are not consider self employed.How you calculate the income is another issue it wil depend on your W-2 and K-1If you have any questions do not hesitate to call.Regards