Are you a retired individual who receives social security income? If so, you may have found it difficult to acquire a mortgage loan. Retirees often find that their debt to income ratio is not up to conventional lending standards, or that their social security income is difficult to track.
At MortgageDepot, we are the New York area’s leading experts in helping borrowers acquire nonconforming mortgage loans. Retirees are often the perfect candidates for a type of mortgage called a stated income loan. Stated income loans offer less stringent underwriting guidelines and can be perfect for borrowers with low income but high cash reserves, investment portfolios and retirement funds, or people who have non-traditional or hard-to-document sources of income.
If you’d like to acquire a stated income mortgage loan, and you’re currently on social security, get out in front of the challenges by learning how to track and calculate your social security revenue.
When we help our retired clients acquire a stated income loan, we ask for the following documentation of their social security benefits:
We ask for, A:
One of these forms of documentation in order to prove social security revenue is likely to continue:
- An SSA Awards Letter, or;
- An SSA Benefits Letter, or;
- An SSA Benefit Letter
And we ask for B:
One of these forms of documentation in order to prove the amount of social security income:
- A copy of your social security benefits statement (The SSA 1099/1045 form)
- A copy of your federal tax returns
- Your most recent bank statement showing all recent direct deposits from the Social Security Administration
- A proof-of-income letter (called a Budget or benefit letter) demonstrating the amount of income you receive from the Social Security Administration
If a borrower can provide one of the required documents from Group-A, no additional documentation will be needed from Group-B. Also note that Social Security Disability and Supplemental income can also be taken into account as long as a borrower can provide at least one document from Group-B, along with an SSA Awards or Budget letter from Group-A, in order to confirm the likelihood of the continuation of this income.
If you’re a retiree currently enjoying social security benefits, and you’re in need of a mortgage loan, contact us at MortgageDepot. today. We’re experts in stated income loans for retirees. We look forward to helping you find the right mortgage loan to help you achieve your goal.