Posted on: 29th Jan, 2013 01:16 am
My husband and I have been pre-approved for an FHA loan. I provided the lender with all the details like - social security numbers, hourly wage rates, asset information, rough bank balances, etc. I haven't sent them any hard copies of any documents yet. We have question regarding tax returns. My husband has been with his current employer for 2 years and I have been with my employer for almost 4. My husband is in a union, where they change jobs often. The loan company is asking for our past two years of tax returns. The only thing that concerns me is that my husband was laid off for the beginning of 2010 and was hired with his recent company in June of 2010. Thus, 2010 tax returns only show 6 months of employment for him. Then, in 2011, he was injured on the job and was out of work for 4 months, so our 2011 returns don't show a full year of employment for him. He was fully employed from September 2011-present, and he was reimbursed his lost wages for the time he missed work due to surgery. Will mortgage underwriters take these things into consideration when reviewing our formal loan application?
Ckeck out the factors that are taken into consideration by the underwriters before offering a loan - http://www.mortgagefit.com/underwriting.html
The answer to your question "Will mortgage underwriters take these things into consideration when reviewing our formal loan application?" is yes. Periods of unemployment in certain trades are common and are no issue. There is no requirement for a borrowwer to have "2 years of continuous employment history" as indicated by a previous poster. Unemployment compensation and union benefits can be added to your husbands regular earnings when determining his effective income.