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Regular Contributor
earlyKY
Posts: 173
Registered: ‎09-10-2013
0

USDA LOAN and overtime pay

I am looking to apply for a mortgage in the near future and would really like to go with a USDA loan. Problem is with my overtime pay calculated in, my income is too high to qualify. How does USDA factor in over time pay??

Regular Contributor
earlyKY
Posts: 173
Registered: ‎09-10-2013
0

Re: USDA LOAN and overtime pay

By the way I am shooting for USDA guaranteed. I don't know if that makes a difference or not

Valued Contributor
BrianB_The_Loan_Professor
Posts: 1,381
Registered: ‎07-29-2008
0

is always worst c

It is always the highest amount for household income so even if the money cannot be used for eligibity they will count it when it comes to the max allowed.

Bacially if you make it they will count it - 

 

 

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Brian B The Loan Professor
Mortgage Banker Lending in all 50 states -
Valued Contributor
BrianB_The_Loan_Professor
Posts: 1,381
Registered: ‎07-29-2008
0

Re: is always worst c

Right after responding I received a link for the new limits - maybe your state was one that changed 

 

here is a link to the new household income limits

 

  http://www.rurdev.usda.gov/hsf-guar_income_limits.html

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Brian B The Loan Professor
Mortgage Banker Lending in all 50 states -
Regular Contributor
earlyKY
Posts: 173
Registered: ‎09-10-2013
0

Re: is always worst c

For some reason the link is not working. It's taking me to outlook mail log in. 

 

So basically even if the over time is not guaranteed they will count it.

Valued Contributor
BrianB_The_Loan_Professor
Posts: 1,381
Registered: ‎07-29-2008
0

Re: is always worst c

sorry about the link - not sure what happened?

 

Yes for the income limits they will look at what was made regardless of what is guaranteed

B

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Brian B The Loan Professor
Mortgage Banker Lending in all 50 states -
Super Contributor
ShanetheMortgageMan
Posts: 8,254
Registered: ‎09-28-2007
0

Re: is always worst c

Just copy & paste the URL rather than clicking on it.  It appears the URL that Brian linked was from a webmail application, thus it's forwarding you to log into that specific webmail account in order to access it.

 

http://www.rurdev.usda.gov/hsf-guar_income_limits.html is the direct link.

Regular Contributor
earlyKY
Posts: 173
Registered: ‎09-10-2013
0

Re: is always worst c

Thanks!  

 

One more question... do they use w2's to determine income or check stubs?

Super Contributor
ShanetheMortgageMan
Posts: 8,254
Registered: ‎09-28-2007
0

Re: is always worst c

Paystubs and a verification of employment document that your payroll/HR department completes.

Regular Contributor
earlyKY
Posts: 173
Registered: ‎09-10-2013
0

Re: USDA LOAN and overtime pay

Thanks for your help! 90% of my over time comes from the summer months. So although I make a substantial amount more during those months it's not something that is steady throughout the year. I just hope that 4 months of overtime pay don't disqualify me from obtaining a USDA mortgage.

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