Hello,

i am self employed and have been running into problems obtaining financing on a new home because my tax returns don't show a lot of taxable income. I have been searching for a stated income loan program, but it's been difficult to find. If anyone knows of a stated income program in FL, please let me know.

Here is my info:

New purchase

Purchase price - between $250,000 and $317,000

Down payment - can put down anywhere from 20% to maybe 40% at the most

Excellent credit - average about 730

Location- FL

Have about $70,000 in liquid assets

Thank you.

Have you asked any local credit unions? It will have to be a portfolio product as there are no conforming stated programs left. You best chance would have to be a small local bank or credit union.

Good Luck,

Jason

I thought I had read online that some lenders are starting to offer stated income verified asset loans, no? You are saying there is not one company that provides these types of loans?

Yes, I have tried small banks and credit unions but they still are only going by my taxable income on my return. Obviously I make money or I would not be able to pay all of my bills on time, so I have excellent credit and cash reserves in the bank. Plus I will be putting down a large down payment. I can put down a minimum of 20%, possibly more if I had to.

Thanks for your help!

I am not saying that there are none left. I am saying that there are none that are saleable on the secondary market through Fannie Mae and Freddie Mac. Thus any that do exist would have to be portfolio products or private money. I would also try posting your situation in the loan scenario section...get a few more eyes on it and possibly an answer.

One other option is to "Come to Jesus" with Uncle Sam and amend your 2008 tax returns and claim more income in 2009. This would at put you in a solid position to buy come spring. Even if it cost you some of the money you saved to settle up the taxes that would result from this, you would then be able to qualify for a mortgage with very little down based on your credit, FHA for example would only require 3.5% down.

If you have to buy now you could always amend 2007 and 2008.

Good Luck,

Jason

Thanks Jason, I understand now.

Unfortunately I need to have the money down so that I can afford the payments & so I don't have to pay PMI. I also have two rental properties and have to keep some cash back in reserves.

My lender that had talked to me about amending my returns said that I'd have to adjust it such that I would owe Uncle Sam much more than I can pay. I guess I will just try to save back my pennies and maybe one day can afford it! If not, I do have the home I am currently living in, and am thankful for that because there are so many who are facing foreclosure right now. Thanks again for your help, it was much appreciated! :)

It maybe difficult, but there are a handful of port lenders that are willing to take a chance with a client like yourself.  I'm pretty sure your going to need to put  more then 20% down but you can get a loan.  Assuming that this will be your primary residence.

Voyage Home Loans

Mike Kim

That's what I've been told, but I'm starting to give up. We've contacted credit unions, neighborhood banks, and still no luck. Any ideas as to who might do this in FL? Thank you for your help.

Mick

You have few options...as the easy, cheap money days are over for now.

Amend tax returns and pay the piper to go forward...

Develope a relationship with a local bank/credit union/lender.. not a branch of a big bank ... demonstrate over the next year to two years the cash flow and responsibility you have in paying your debts... with this lender. They might then take a chance on you...

take a private money loan at 10-12% with a two - three year balloon that you can refi after you have filed tax returns more reflective of your income.