Sales commission job and qualifying for a loan

[Devin Wilkinson]

I am currently attending the University of Tennessee and am 19 years old. I have a summer sales job and have the potential to make around 100k if I do well enough. Lets say I make 60k after taxes for this discussion. I will be turning 20 this summer and I want to start buying rental property by spring 2020. I know that normally for traditional financing they want to see at least 2 years of employment but would it be possible to get a loan if I had one of my parents cosign on the loan, one makes about 80k and the other about 400k. I am not sure how the cosigning works on rental property loans. I'm just curious about how traditional financing look at commission sales jobs, age, and cosigning. (I have had a credit card for about a year now with no late payments so it will be about 2 years with it when I would want to buy a rental property.) Ultimately would traditional financing be an option even with cosigning, or do I need to plan on buying my first property for cash. My current business partner is also doing the sales job so together we would be able to buy a SFR for cash if needed, but leveraging would be ideal. Then that leads me to refinancing as an option if traditional lending is not available in the beginning.

Thanks for any advice or input you may have!

[Chris Mason]

Originally posted by @Devin Wilkinson:

So does that mean it would be possible if they did co-sign? @Harjeet Bhatti

@Greg Scully The problem with FHA is that I will not be living in the house. Seller financing is an option that we will definitely be looking for though. I appreciate you thinking I'll find a way, most people say I need to wait and stop being a dreamer but I know I can make it happen.

 Yup cosigning could work. Except it's not like cosigning a lease where you have a "primary" signer and then a "tertiary" cosigner.

They would actually be peer coborrowers. All of you are equally coborrowing, no "primary" and "tertiary." DTI fully blended, no different than if a husband and wife get a mortgage together. Meaning ALL of your cumulative debts will be divided by ALL of your cumulative incomes to calculate debt to income. And ALL of you are equally responsible for the entire mortgage payment and amount, until/unless at some point you refinance it just into your own name or write a very large check to pay the balance off in full.