Qualifying for an FHA Loan: College Income Level

Private Lending & Conventional Mortgage Advice

Qualifying for an FHA Loan: College Income Level

Manitowoc, WI · Member since 2015 · 4 posts · 1 vote

Will I be approved for an FHA loan with my current "income"?

The following would be what I consider to be my channels of annual income:

Mentor position ($4,000)
Grants for school
Future income from tenants living with me

My issue is that I technically can not state that I have a job. For my mentor position I am paid through a scholarship prior to the start of each semester. I do not file a W-2 or any paper work like a normal job requires.

To my knowledge FHA recognizes government grants as a form of income. I am not sure about scholarships and income from future tenants.

I look forward to any advice!

0 Reply

7 views

Most Popular Reply

Albert Bui

Lender · Bellevue WA & Orange County, CA · Member since 2013 · 2k+ posts · 1k+ votes

10y

You cant use boarder income from roommates in most cases (some but not your cases).

You can use proposed rental income if you're buying multiple units like a fourplex, live in one rent the others out, along with bringing in a non occupant coborrower into the loan scenario could help you qualify like a parent or relative.

Right now you're considered as $0 income unless you can document the grant income is likely to continue for 3+ years or is a normal salary/job it sounds like some temporary while you're in school type of subsidy (if subsidy you can't use it).

1 Reply

See this reply in the discussion

3 Replies

Jump to latestLatest

Sort by

Brie SchmidtBusiness Member
Moderator
Real Estate Broker · Chicago, IL · Member since 2013 · 6k+ posts · 5k+ votes
10y
@Michael Barbari or @Albert Bui might be able to answer
Podcast Guest on Show #132
Second City Real Estate4.821 Reviews
Website View Page
0 Reply
Michael BarbariPro Member
Banker · Downers Grove, IL · Member since 2014 · 396 posts · 107 votes
10y
@Brandon Martinez @Brie Schmidt
I do not do first mortgages or deal with FHA. FHA has very different guidelines. I do home equity lines of credit. With my bank, if you can't document income via w2's or tax returns I wont be able to lend you money. We can use 75% of your current leases towards your income. I hope all works out!
0 Reply
Albert Bui
Lender · Bellevue WA & Orange County, CA · Member since 2013 · 2k+ posts · 1k+ votes
10y
You cant use boarder income from roommates in most cases (some but not your cases).
You can use proposed rental income if you're buying multiple units like a fourplex, live in one rent the others out, along with bringing in a non occupant coborrower into the loan scenario could help you qualify like a parent or relative.
Right now you're considered as $0 income unless you can document the grant income is likely to continue for 3+ years or is a normal salary/job it sounds like some temporary while you're in school type of subsidy (if subsidy you can't use it).
1 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.