My younger brother only makes $14,200 a year (part time student). He has $30,000 cash for a down payment. He has had a repo (truck) and has since cleared the debt. He doesn’t owe on any of his credit cards and has no bills other than car insurance, food and rent (approx. $300 total each month). The house he wants costs $100,000. Is there any way that he will be able to get a mortgage? Can his twin co-sign (his credit isn’t that great)? Any ideas?? Thanks!
rcaines1
I can’t through to your em… ?
yes there is a way, some banks allow you to do what they call "stated income, stated assets" that is a program that allows the borrower to state their income to whatever (within reason) to make them qualify for the loan. The down side is the intrest rate is a little higher than normal usually about .50 of a %. with that kind of down payment I could get him into a home fairly easy, and depending on his credit score he may not have to put all of his money down. email me if you are intrested, i can give you more advise or even help you out with it.
No, His debt to income ratio will not allow a bank to give him the loan.. In laymens terms… He doesn’t make enough money. By law a bank cannot make a loan to someone that does not make the money to make the payments & eat.
References :
It is somewhat unlikely that he could get a loan although there are programs out there through mortgage companies that might allow him to go "no-doc" and "stated income". He would need about $700 per month for mortgage, tax and insurance on the house. If a roommate or brother were helping him pay, it is possible he could afford it. IM me for more mortgage info if you like.
References :
yes there is a way, some banks allow you to do what they call "stated income, stated assets" that is a program that allows the borrower to state their income to whatever (within reason) to make them qualify for the loan. The down side is the intrest rate is a little higher than normal usually about .50 of a %. with that kind of down payment I could get him into a home fairly easy, and depending on his credit score he may not have to put all of his money down. email me if you are intrested, i can give you more advise or even help you out with it.
References :