Qualifying for new mortgage, earned income, taxes, rental income.

[William D.]

This post might be a little scatter brained but here I go. I own 2 condos in NYC, live in one and rent the other and plan on buying more properties. I can come up with the down payments and capital but I only make $100k per year. It's the income issue I am having to qualify. What are some ways I can keep qualifying for new mortgages in regards to rental property income? 

For example, my mortgage on rental property 1 is $1000 and the rental income is $1000, so when qualifying the banks will take 70% ($700) and count that as income, so I take a hit for $300. Now, what if the rental income is $1430? 70% of $1430 is $1001. So the banks would see it as me breaking even? 

[Basit Siddiqi]

@William D.

I am not 100% sure of the limit but I have a feeling you are right - I recall reading a report that Fannie Mae / Freddie Mac increased the DTI ratio limit a couple months ago...but that may have changed due to COVID.