10-01-2012 07:05 AM
Hi there! My husband and I would really love to buy our first home this summer, but I'm so confused about how our income will be calculated, hoping someone has a good grasp of this. We are planning to use FHA. We both have credit scores a little above 700. No negatives on our reports. Available credit around $10,000 each with UTI around 10%. So I think our credit will be fine. What I'm worried about is the income stuff.
My husband has been an electrician for about 4 years, and makes about $37,000 a year. I have been working part-time for a year, making around $10,000. I am starting a new job in October, however, that pays $24,000, in basically the same field (college support staff). Prior to a year ago, I was a stay at home mom for several years, with small children at home.
Last year, my father passed away, leaving me a small inheritance (around $20,000), which I will report on our 2012 tax return.
So I have a bunch of questions, hoping someone can help!!
Does FHA just average your income for 2 years of tax returns to determine what you qualify for? no Do they take into account if you have recently started making a larger income in this determination? (i.e. - what consideration will I get for my new job) you woul need a pycheck from the new job before closing
Will FHA count my inheritance toward our 2012 income? this is not income
Another poster here once said that FHA will count income if you've worked less than 2 years IF you were a homemaker with small children. Is this accurate? not entirely.... it is vague. the REAL answer is that the 2yrs in the same line of work can be waived if you are 'returning to the workforce' in the same line of work as your degree or a line of work you did previously Does anyone have experience with this? yep. Is there an actual FHA policy about this, or is it up to the lender? FHA guideline Anyone know which lenders are more flexible about this? most should be able to do it We'd really love to buy a house, but we have to be able to count my income in order to get a decent sized loan for our area. Will we have to wait another year? likely just wait until you get the new job
Thank you thank you in advance. Any advice is appreciated!!
10-01-2012 09:19 AM - edited 10-01-2012 09:20 AM
Thank you!! I would definitely have work info (paystubs) from the new job, because I'm starting it in 2 weeks, and we don't plan to apply till late spring. Keeping my fingers crossed till then!!