Financing with temporary employment

4 Replies

I am listed as a temporary employee for a company. I work 4 to 5 months a year and net around +/- 100k a year. I am planning on looking for foreclosed homes and trying the lease/option plan. Is there any way that I can get financing or do I have to pay cash for these houses. I am thinking that if I can finance two homes a year with half down, my cash flow will be higher than paying cash for one house. Any suggestions? Am I on the right track? Thanks in advance.
Dustin

I'm no expert but if you are paying taxes you W2 or 1099 should show how much money you made last year and might be enough to sway a lender. Not sure how it works if you are on again off again.

You could do the same thing self employed people do, get a "stated income" loan.

My suggestion is to attend a local REI Club and talk to the members about the mortgage people they would recommend. Not all brokers understand the types of loans we REI types like. So get referrals.

You can find a local club here: http://www.biggerpockets.com/real-estate-investment-clubs.html

Originally posted by "Dbailey":
I am listed as a temporary employee for a company. I work 4 to 5 months a year and net around +/- 100k a year. I am planning on looking for foreclosed homes and trying the lease/option plan. Is there any way that I can get financing or do I have to pay cash for these houses. I am thinking that if I can finance two homes a year with half down, my cash flow will be higher than paying cash for one house. Any suggestions? Am I on the right track? Thanks in advance.
Dustin

It depends on how you are paid. If you file your taxes as self employed AKA 1099, you should be fine. If however you are W2, you could go stated ONLY if you can prove that your employment will continue. Will they renew you next year?? If not you would have to do a NO Doc loan and the rates are VERY ugly.

Woods
www.LoansInAnyState.com