HELP - we can’t get approved…. Or can we?

[Natalie P.]

My boyfriend and I are trying to buy a property in the Sacramento, CA area. We’ve gone through the process of doing an application and submitting the required documents, and our lender is saying our combined income is too low, even with a significant down payment. 

The details: 

I alone own a property and would like to rent it out and buy single family with my boyfriend. I make around $47,000 a year with a W2 job. I have a car payment as well and around 10k in credit card debt. So my DTI to buy another home is not looking very good.

My boyfriend does not own any real estate, but has owned a previous home for over 15 years. He owns his own business and writes off a significant amount. Before writing off, he makes $109,000 yearly. But afterwards, makes around $20k……  

We both have credit scores in the 760 range. 

My question: 

How could we ever buy another house with our tricky situation, and still keep my current house for rental income? Our lender suggested we just sell my home as it holds around 300k in equity, but my real estate investment brain is telling me not to, and hold out until I can make this work. 

How do investors get approved for and acquire multiple properties at once? 

Thanks in advance!