Every Monday Morning at 8:15am, join me on my Facebook page as I sit down with a local lender, and do a live interview and talk about a Mortgage Tip that may help YOU with your next Real Estate Purchase.
This morning I sat down with Mark Waterman from Great Western Bank and discussed the importance of disclosing income changes during the loan application process. You can reach him at 605.627.0602 or Mark.Waterman@GreatWesternBank.com His office is located at 1302 6th St., Brookings SD 57006 or on the web at www.GreatWesternBank.com.
The Necessity in Disclosing Income Changes
- Good morning, everybody. Shane here for the Brookings Home Team powered by Century 21. We took a week off. We're back again. I've got Mark here from Great Western for our Monday Morning Mortgage Tip. It is our last Monday of October. We both have our Halloween costume on, so boo! Or at least I do. I shouldn't speak for--
- Yes. We're gonna scare the heck outta me here today, but like I said, this is the last Monday for October. In a couple days, it's Halloween, so Happy Halloween to you guys, but before we do that, Monday Morning Mortgage Tip, what do you have for us today, Mark?
- The tip that I wanted to talk about just recently happened to one of my prospects basically regarding their employment. I know some people have touched on employment and what we need together as mortgage lenders, but more specifically, when you're thinking of either switching jobs or switching the way that you're going to be getting compensated, going from a salary-type situation to all of a sudden getting commissions, those are unique situations and the underwriters should be aware of that and the situation should be ran by them to see if we can still get you to qualify based on your income. Anytime you're dealing with commissions, bonuses, overtime, things of that nature, you really do have to have a pretty good history, generally two years of a history of that. Same goes for if you're switching the line of work that you're in. If you're a lawyer for six months and a dentist for six months and all of a sudden, you're gonna be an investment rep, it raises some red flags and they have a hard time giving you credit for the income that you're actually getting even in the last 30 days. A lot of times, that history needs to be there because they do do verifications of employment to prove that. Even if you haven't worked for two years, if you're a recent college graduate, something like that, they might get a college transcript just to make sure that if you got hired on for something that you went to school for, you get credit for that to fulfill that two year history, but you do have to be careful. I recently had somebody that, like I said, they worked at the same company and they were getting paid salary and then they went to actually commission only and we weren't able to use the 50,000 that they used to make because now their pay structure is completely different and they're not guaranteed anything. So, something to be aware of. If you have any questions, every situation is a little unique, I would encourage you to run it by a mortgage loan officer. You might assume that you're good to go and that you're making a good living and everything else, but if we can't get it to qualify, that could be an issue.
- Yep, good idea. We have, like he said, talked about it a little bit. I think we've touched on the employment before, but this was a little more in depth, I think, as far as the commission and the bonuses and what it takes. Like Mark said, if you have any questions on any of that, feel free to reach out to him. As usual, information for Mark on top, on the bottom, on the sides, wherever your device allows you to see that. Feel free to reach out to him. He'd be happy to talk to you. If for some reason you can't reach him, get a hold of me and I'll put you in touch with him. It's not that big of a deal. We'd be happy to help you. So, that is the last Monday of October's Monday Morning Mortgage Tip. We'll be back next Monday in November. Thanks everybody for watching this week. If you know of anybody that would benefit from this video, feel free to share or tag them in with it as well and as always, if you have a question for any of us, message us, request it down in the comments below, whatever it takes and we'll be happy to answer that question on our next episode. So, thanks again for watching. We'll be back next Monday and have a great week, guys. See you later.
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