Can I still qualify for a mortgage?

Question

I have a question regarding qualifying for a mortgage. I finally got my FICO scores high enough to qualify for a mortgage (fico is 645ish across the boards) but here is my dilemma... In August I left an employer of three years for my current employer. Same type of work field (laborer). With my new employer, I may be getting laid off for 4-6 wks during the winter as it is a semi weather permitting union job. My previous job was not seasonal at all but same pay.  I guess my question is what obstacles do I face if I apply for a mortgage with this job and income scenario? How will they determine my eligible loan amount? Should I apply now and possibly be laid off during closing, or wait until i get back to work for a couple months in the Spring/summer? I'm interested in getting an Fha for a personal home or a sub 50k loan for an investment property. Any feedback would be greatly appreciated!!

Chris Mason · Answer

Hi @Rob Robertson,

This is seasonal income. Seasonal income is a greater pain in the butt than self employment income.

In addition to the standard paperwork, bring the following when you meet with a mortgage professional local to you:

• Final paystub from each and every single job you have held within the last two years.
• Most recent two paystubs from whatever job you currently hold.
• Final late December paystub from whatever job you held when the calendar year changed in 2015 and 2014. 2016 is almost done, so bring that paystub too.
• All W2s and 1099s from 2015 and 2014. Once you have them, 2016 too.
• For each job, start date, end date, job title and HR person contact info.

Ask your real estate agent, in a very frank manner, "hey who is the best local lender that deals with pain in the butt deals?" and go meet with that person.

Anyone can throw spaghetti at the wall, but no one will be able to give you any definitive answer without all of the above at a bare minimum. Seasonal income is a pain in the butt; no point in putting lipstick on a pig.