Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 54%
$32.50 /mo
$390 billed annualy
MONTHLY
$69 /mo
billed monthly
7 day free trial. Cancel anytime
×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
Starting Out
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 7 years ago on . Most recent reply

User Stats

31
Posts
5
Votes
Brett Rhine
  • Brandon, FL
5
Votes |
31
Posts

Bank wont count rental income profit as income for loan qualif??

Brett Rhine
  • Brandon, FL
Posted

Not sure if this is the right forum section or not but since I'm a total newbie I thought it belonged here. 

Knowing where you want to go begins with knowing where you are, and with that in mind I reached out to a national bank just to see what kind of mortgage I could qualify for and how I would best improve my current situation in case I needed to use conventional financing.

My credit score is mid-700s, about $15k in consumer debt (which is coming down). The main problem for the bank is that my base income is low-ish (I'm in a salary+commission job) and I dont have 2 yrs of history in this job for them to go on. 

Here is the part that puzzled me...when the bank asked me what I want to do with my current home I own I told him that I intend to rent it and move into the next home I buy. So it seemed like he was calculating whether my base income can satisfy two mortgages. Is that normal? I understand that there is no guarantee that the house would rent at all, but why wouldn't he include anything about having the potential for rental income into my calculation? 

I realize a lot of you are probably smacking your foreheads at what I assume is probably a "duh" question, but this is where I am and any advice or counsel would be greatly appreciated. 

Thanks!

Loading replies...