Posted on: 30th Apr, 2013 01:05 am
Well, I have a work history of 6 years and now I have planned to go back to school. I would like to purchase a condo to live in for the 4 years I will be in school. I will get a good amount as stipend to live off. The lenders say that even though I receive income it’s not the same as having a job. I have good credit, I have plenty for a down payment. How can I get a mortgage? Do I have to tell them I'm going back to school?
The lender is absolutely right. Even if you are getting a stipend, it is not an income. Unless you can show some form of income, most lenders will not be ready to give you a loan. However, you may have an option in FHA loans. FHA allows for non-occupying co-borrowers. If you have someone who could go on the loan with you as a co-borrower, then their income, assets, etc. could be considered and this could allow you to buy now.
Hi Baron,
I agree with what Niicss has said. You should contact the local FHA lenders in this regard. They will look into the whole situation including your credit and income and then let you know whether or not you will be able to get a loan.
I agree with what Niicss has said. You should contact the local FHA lenders in this regard. They will look into the whole situation including your credit and income and then let you know whether or not you will be able to get a loan.
Hey Baron, well the bad news is, the lenders are right. They need to have some sort of security that you can pay them off and usually it is by having a stable income. But since you are living off a stipend, then that wouldn't be much of a security for them. Maybe you could try talking to them once more and ask whether they would approve if you get a co-signer. If they still refuse to offer you a loan, you might want to try the FHA, just like what the others have mentioned. They will do a credit check, see how much you have and look into your whole situation.