Additional loans- qualifying STR’s

[Mark Futalan]

Hi,

Curious to know if anyone has had issues qualifying for more mortgage loans with rental income from an STR. I bought 2 over the past 2 years (1 each year), and I'm noticing a trend with the write offs from the set up of our STR's actually hurting your ability to qualify for more loans. For example, the first home we showed a "loss" due to the expenses incurred to furnish/set up etc that first year. This year we were positive but our 2nd place showed a "loss" because of the same reason as house #1. So on paper it looks like a negative and since we don't have a long term contract, some lenders are reluctant to use that income. So I guess my question is do I need to show more rental income to boost our income on paper to qualify for more loans or are their methods for lenders to write off those expenses incurred in the first year so they don't negatively effect us. Hope this makes sense. Thanks!