Self Employed FHA/USDA

FHA has some clearly defined guidelines regarding self employed borrowers and the taxes necessary to prove income. It would be a long stretch if it was the same "type" of business to somehow go around this guideline.. That would have to make it past the underwriter, and most will disallow it.. Also, per guidelines, they would use the average of the last 2 years to determine your income, if in the last year you made more than the previous.. if you made more in 2010, and less in 2011, then they would use the income from 2010 to determine your ratios.. (always worst case)... you're going to have to wait till you have 2 years complete tax returns to support your income.. 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 the new business is in the same line of work, I may be able to help. Call me at 512-663-5515 or email me at mattspinn1@gmail.com

Hello there,Unfortunately that is the guideline. Any self employment income needs a two year average so the new business wouldn't be able to be counted until you can verify it on two years returns. I am sorry, I wish I had a better option for you but this is the current guideline and your current lender is giving you the same answer that you would receive everywhere.

Hi Gianni, Generally that is correct. You noted FHA/USDA. Depending on how the income has been received and available P&L statements and available Tax returns it may be possible. I would be happy to go over your situation in detail. Feel free to email or call our office. Sincerely,Henry J Daniels - Sr. Mortgage Banker & CMPSI Certified Mortgage ProfessionalCertified Military Housing Specialist "Educating you to make the right financial choices for your family today and tomorrow" Direct/Text: (936) 228-1944 henry@henryjdaniels.com