How Much Mortgage Can I Qualify For? It Might Depend On HOW You Are Paid!

Cash, income, credit history…the big three of getting an approved home loan. All equally important and all have very specific guidelines and documentation requirements. We mostly think of income when asking the question, “How much mortgage can I qualify for?”  This article is going to talk about income and why HOW your wages are paid  by your employer can make a huge difference in the amount of the mortgage you may be eligible to borrow. There are many methods of employment compensation. Just to name a few: Hourly Hourly with overtime Hourly with bonus Salary Salary with bonus Salary with commission Straight commission Wage paid by your own company (or family business) Ultimately what your lender wants to establish is the stability and consistency of your income. If you work a standard 40-hour week and are paid hourly or on a set salary; that’s the easy part and is fairly … Continue reading