Dropping 2 year requirement for qualifying rental income
Hey all, I have a question about the requirement that necessitated 2 years of rental history to be shown before allowing that rental income to qualify for a conventional loan. I may be misstating this, but I think that is the gist of it.
I have heard recently that this requirement has become less stringent, and that lenders are qualifying borrowers without a rental history, but only for 75% or so of the rental income. Is there any truth to this? If so, can you point me towards a source?
My lender has asked his underwriters about it and weren't able to find anything about it in the FNMA and FHLMC guidelines so I am wondering if it is even true.
This is for a conventional loan for a private residence my wife and I are trying to qualify for. We are putting our current condo up for rent without a rental history.
Thanks
Nate