2nd Home Mortgage for STR

[Jayme B.]

Do all lending companies for 2nd home mortgage loans look at 2 years of W2's? My 2022 W2 income is significantly higher than 2021. The last lender I worked with averaged 2021 & 2022 together which ruined the DTI ratio. I understand there are DSCR loan options, but the 2nd home mortgage is preferable due to only needing 10% down.

Is it better to work with a local lender or a national lender?

[Zach Edelman]

There are DSCR lenders that allow for gifts or other creative methods of down payment assistance. As long as you don't get a second mortgage, and ask your DSCR lender ahead of time what's acceptable, there may be ways to make it work.