IRS transcripts are only required if you are self-employed or otherwise using your tax return to document your income, the other situation it's common to use tax returns to document income is if you have rental properties/rental income. If you are just relying on W-2 income to qualify then you shouldn't need to provide your tax returns or your tax transcripts. Further, in those situations where tax returns are required then if you file a tax return filing extension then the 2024 tax returns or transcripts wouldn't be needed until October 15th.
If you have owing income taxes then they either need to be paid in full or set up on a payment plan. It's really easy to set up a payment plan, usually can be done on the IRS website but otherwise you can just call them up (I recommend first thing in the morning) and get one set up over the phone. The payment is included in your DTI calculation.
If you get an automated underwriting approval then that means your credit depth/history has been found acceptable. Some lenders may have "overlay" requirements for a certain # and duration of tradelines but that isn't very common these days. If your loan needs to be manually underwritten then underwriters are looking for 3 trade lines of 12 months each - and you can use non-traditional credit to meet that requirement. For FHA it requires that you have one of: rental housing payments, telephone service or utility company reference (gas, electricity, water, television, internet) and then the other 2 can also be one of those or it can be insurance premiums not payroll deducted (like automobile insurance, medical, life, renter's insurance), payment to child care providers made to businesses that provide such services, school tuition, retail store credit cards (for example, from department, furniture, appliance stores, or specialty stores), rent-to-own (for example, furniture, appliances), payment of that part of medical bills not covered by insurance, a documented 12-month history of savings evidenced by regular deposits resulting in an increased balance to the account that that are made at least quarterly, or a personal loan from an individual with repayment terms in writing and supported by canceled checks to document the payments.
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