Forced Overtime Salary- House Journey

[Shawn19AL]

Hello

I Pray everyone is fairing well. I have a question.  I'm trying to get preapproved for a mortgage and the U/W wanted a letter from my job explaining why OT is so low at this time of year.  

The nature of my job is OT doesn't pick up until around  late April- May and stays steady until Thanksgiving.  

My currently salary is $68k but with FOT I

usually go over 20-30k every year.  

Has anyone been in a similar situation trying for a mortgage ?

The LO made it seems as if I wouldn't be approved for a higher amount.  I'm only interested in 300k but he did the numbers and initiallynsaid I could easily get $375k with OT. 

[Revelate]

If you can show the OT income from the last two years on tax returns it should be a non-issue.

You may need to write a letter on it but depends if the UW understands their role .  Some are better than others.

[VALoanMaster]

The underwriter has to determine if the OT is consistent & likely to continue in order to count it.

What type of work do you do? It may help to write a letter of explanation especially if the OT is due to normal seasonal pick up in business.

[Shawn19AL]

Thanks for the replies!

@valoanmaster, I am in the beer industry.  I went to my HR department and they wrote a letter for me, not going into too much detail but explained that OT is lighter earlier in the year and heavier once summer gets here.  

[VALoanMaster]

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@Shawn19AL wrote:

Thanks for the replies!

@valoanmaster, I am in the beer industry.  I went to my HR department and they wrote a letter for me, not going into too much detail but explained that OT is lighter earlier in the year and heavier once summer gets here.  

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That makes perfect sense and you should be good to go.

Good luck!

[Shawn19AL]

My mortgage banker called me to see what I wanted to do with the COVID situation. He said its looking like a lot of things are changing because banks are being cautious with lending huge amounts as they should.

I'm thinking its going to be awhile before things even out with the market and mortgages.  Kinda bummed but my credit can be improved while this is going on.

My mortgage scores were 645, 650 and 626.

[VALoanMaster]

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@Shawn19AL wrote:

My mortgage banker called me to see what I wanted to do with the COVID situation. He said its looking like a lot of things are changing because banks are being cautious with lending huge amounts as they should.

I'm thinking its going to be awhile before things even out with the market and mortgages.  Kinda bummed but my credit can be improved while this is going on.

My mortgage scores were 645, 650 and 626.

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Are you saying the lender denied your loan?

[Shawn19AL]

We didn't submit.  We were gathering everything the UW would ask for prior and then getting ready to submit.  

I found a house I wanted to look at but I can't get inside the house due to COVID

so we decided to wait a month and see what's going on.  

[Shawn19AL]

My 3B came in and looks like I gained points on  transunion

mortgage scores now 645 643 650

[Anonymous]

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@Shawn19AL wrote:

My 3B came in and looks like I gained points on  transunion

mortgage scores now 645 643 650

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Have the realtor due a virtual tour for you We have out of town buyers quite often and do this for them regularly since they frequently can't come to see the house.