Man I've dealt with this more times than I even care to mention. Never seen it written about. But yeah, I've had to ask that question constantly. "So, I've been running this (now national) business (here are the financials) for 13 years and I'm ousted from this process bc I checked 'self-employed'?"
Okay, I'll bite. Common misconception. You're working with the wrong bank/lender. Mortgage pros don't care if you're SE and take deductions. Our job is to find a lender who will do the deal at good terms. This retort is akin to going to Chick Fil A, asking for a hamburger, you write them a shite review bc who doesn't serve burgers. Just gotta drive a few blocks and look for a hamburger shop.
Appreciate the comment. Respectfully, the issue runs deeper than just explaining deductions which is certainly possible if a broker/lender is willing to listen. Entrepreneurs with strong cash flow and savings are still denied due to rigid industry models that flag income variability or <2 or 3 years history as "risky." Sure... good brokers look for the best lenders, but then their systems still rely on outdated, aggregated data that penalizes the self-employed while paradoxically sailing a fresh startup W2 through.
Also, even if a broker/lender can get something done on a mortgage, landlords and their reps don't do this because there is no "deal" really... they draft off the Fannie models and risk-aversion and therefore are even more rigid.
Man I've dealt with this more times than I even care to mention. Never seen it written about. But yeah, I've had to ask that question constantly. "So, I've been running this (now national) business (here are the financials) for 13 years and I'm ousted from this process bc I checked 'self-employed'?"
Okay, I'll bite. Common misconception. You're working with the wrong bank/lender. Mortgage pros don't care if you're SE and take deductions. Our job is to find a lender who will do the deal at good terms. This retort is akin to going to Chick Fil A, asking for a hamburger, you write them a shite review bc who doesn't serve burgers. Just gotta drive a few blocks and look for a hamburger shop.
Appreciate the comment. Respectfully, the issue runs deeper than just explaining deductions which is certainly possible if a broker/lender is willing to listen. Entrepreneurs with strong cash flow and savings are still denied due to rigid industry models that flag income variability or <2 or 3 years history as "risky." Sure... good brokers look for the best lenders, but then their systems still rely on outdated, aggregated data that penalizes the self-employed while paradoxically sailing a fresh startup W2 through.
Also, even if a broker/lender can get something done on a mortgage, landlords and their reps don't do this because there is no "deal" really... they draft off the Fannie models and risk-aversion and therefore are even more rigid.