Buying a house when self employed. First time home buyers can get a mortgage with a side business.

There are different rules when you are self employed and buying a house. Unlike the average first time home buyer who is a W-2 employee, self employed people have to prove their income in order to get a mortgage. The biggest catch-22 is that business owners, independent contractors, and/or self employed people write off most of their income for tax purposes.

In this video, I explain how you need to document your income when you are self employed and what you need to do as far as your taxes are concerned. There are a different set of rules for the self employed and normally you will be required to make a sizeable down payment. Check out this video for some other options that can possibly help you get around the requirement for a large down payment.

Download the HomeScout app from your app store and use my VIP code 0832 to search the Nashville MLS.

When buying a house when self employed, you still need a strong credit profile and a credit score of at least 700 normally. Your debt-to-income also has to be in line with the income you report.

Watch the video to the end to see how you can possibly qualify for a mortgage depending on just your self employment or side hustle income.

Download the HomeScout app from your app store and use my VIP code 0832 to search the Nashville MLS.

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