Question about securing a mortgage without a W2 job

[Account Closed]

Thanks in advance for any/all assistance provided....After working for over 25 yrs as a marketing communications executive, I left my job in 2014 to stay with my father, who was ill. I haven't re-entered the job force in a full-time capacity since (so I don't have 2 years of previous W2 employment to show). I have $150,000 that I would like to invest in buy and hold rental properties. Conventional mortgage lenders state that I need as W2 job before I can secure a mortgage. I have a partner who would join me on a Joint Mortgages to leverage my 799 credit score, solid savings with her steady employment if needed. I'd prefer to avoid the high interest rates from a hard money lender. Is there a lender who can assist / provide recommendation. I live in CA but am also looking at RE opportunities in Chicago, Indianapolis, Georgia, and PHI. THANK YOU!!

[Account Closed]

Originally posted by @Albert Bui:

Originally posted by @Account Closed:

Thanks in advance for any/all assistance provided....After working for over 25 yrs as a marketing communications executive, I left my job in 2014 to stay with my father, who was ill. I haven't re-entered the job force in a full-time capacity since (so I don't have 2 years of previous W2 employment to show). I have $150,000 that I would like to invest in buy and hold rental properties. Conventional mortgage lenders state that I need as W2 job before I can secure a mortgage. I have a partner who would join me on a Joint Mortgages to leverage my 799 credit score, solid savings with her steady employment if needed. I'd prefer to avoid the high interest rates from a hard money lender. Is there a lender who can assist / provide recommendation. I live in CA but am also looking at RE opportunities in Chicago, Indianapolis, Georgia, and PHI. THANK YOU!!

HI Daniel,

You dont necessarily need W2 income to qualify "if," you're looking at qualifying for properties that cash flow when using the formula of 75% of gross rents - PITIA = (hopefully a positive number).

The other caveat is that you'll need to have no debt outstanding whether on credit cards or other (installment/etc).

You can have other properties that positively cash flow but nothing else then you can qualify with only Credit and assets, no income.

Now if you "do have other debt," then you may need an income partner such as the one you've mentioned above. So that will work as well, just wanted to clarify.

Hope that helps. 

 Thanks, Albert. Fortunately, I don't have any debt and plan to generate positive income from the rental properties. Thanks!