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Updated over 3 years ago,

User Stats

97
Posts
23
Votes
Fausto Carosella
Pro Member
  • Real Estate Broker
  • Boca Raton, FL
23
Votes |
97
Posts

Projected Income to qualify for SF purchase

Fausto Carosella
Pro Member
  • Real Estate Broker
  • Boca Raton, FL
Posted

Hey all, For clarification purposes: If someone is trying to qualify to purchase a single family to use as a rental, a lender will use 75% of the rent toward the monthly debt service? 

For example if PITI on the property is $1500 and the market rent is $2000 that property's potential income should qualify (on a basic income level) by itself, correct?

Lenders I have worked with in the past have told me this is how they qualify the rental, a new lender I am looking to work with is giving me conflicting info, saying they only use 25% of the 1500.

Can any other lender friends provide further insight? Thanks...

  • Fausto Carosella