Anyone who works in the financial sector has had a client or two who are quick to state how much money they make. Problem is, sometimes that number doesn’t match their tax returns, and the days of stated income are a distant memory. Specifically, when it comes to FHA loans, projected (or hypothetical) income is also not acceptable for getting approved for a home loan. However, there are exceptions for this kind of income if it comes from:
- Cost-of-living adjustments,
- Performance raises, and
For the above exceptions to apply, the income must be:
- Verified in writing by the employer, and
- Scheduled to begin within 60 days of loan closing.