Moving back to NH and I need a Mortgage For Self Employed

[JasonG]

I am looking to find a mortgage broker that can work with self employed individuals. We are moving from FL back to NH and are looking forward to some time on the Big Lake again.....Help is appreciated!

The story...
Anyone who owns a business and has tried to buy a house in the past few years may know the pains of a mortgage application. The guidelines are more strict these days and it would appear unless everything is perfect, the typical big banks will not approve you. They want to look at the prior 2 years tax returns to make sure everything is profitable. No problem

Picture this..Looking for a $250k home, we have $100k+ to put down. Decent credit with some blems from 5+ years ago, income above average. Denied by Quicken Loans for 2 reasons.

1. Even though they looked at my 2013 and 2014 corporate taxes, and were profitable, they took into account a loss from 2012 that carried over to my 2014 taxes only as a deduction known as a Net Operating Loss. Lowers my tax burdens, similar to write off's like charity or kids. However, the NOL can be considered something that can reduce your income. Therefore I did "not make enough money in 2014", according to them.

2. Now keeping in mind my business is selling online. I do this on ebay, amazon, etsy, and my own site. The rep at quicken loans told me this, and yes I have it in writing.."What if Amazon and UPS Go Out of business? You would have no way to sell your products or ship them".

I felt like responding back and telling them I ship with US Postal, but at that point I realized I may be dealing with a fool and let it go.

Regardless of #2, point #1 is a sticky one for typical mortgage guidelines and appears to be an issue for any big bank.

Any Mortgage brokers in the NH area that can help me? Any ideas from anyone?

Thanks!

Thanks!

[thinkxingu]

Would it be worth checking with a credit union? I've been really impressed with GSCU. Just a thought--good luck!

[Just Sold]

I second Credit Unions and in particular Granite State Credit Union, GSCU.org, is top notch from my perspective. Very professional, friendly and helpful.

[secondcurve]

Originally Posted by JasonG

I am looking to find a mortgage broker that can work with self employed individuals. We are moving from FL back to NH and are looking forward to some time on the Big Lake again.....Help is appreciated!

The story...
Anyone who owns a business and has tried to buy a house in the past few years may know the pains of a mortgage application. The guidelines are more strict these days and it would appear unless everything is perfect, the typical big banks will not approve you. They want to look at the prior 2 years tax returns to make sure everything is profitable. No problem

Picture this..Looking for a $250k home, we have $100k+ to put down. Decent credit with some blems from 5+ years ago, income above average. Denied by Quicken Loans for 2 reasons.

1. Even though they looked at my 2013 and 2014 corporate taxes, and were profitable, they took into account a loss from 2012 that carried over to my 2014 taxes only as a deduction known as a Net Operating Loss. Lowers my tax burdens, similar to write off's like charity or kids. However, the NOL can be considered something that can reduce your income. Therefore I did "not make enough money in 2014", according to them.

2. Now keeping in mind my business is selling online. I do this on ebay, amazon, etsy, and my own site. The rep at quicken loans told me this, and yes I have it in writing.."What if Amazon and UPS Go Out of business? You would have no way to sell your products or ship them".

I felt like responding back and telling them I ship with US Postal, but at that point I realized I may be dealing with a fool and let it go.

Regardless of #2, point #1 is a sticky one for typical mortgage guidelines and appears to be an issue for any big bank.

Any Mortgage brokers in the NH area that can help me? Any ideas from anyone?

Thanks!

Thanks!

Jason: I wish you luck and can only imagine how frustrating your problem is. While I can't solve your problem I want you to be aware that your problem is a direct result of over regulation in America. The financial crises was caused by greed among borrowers, lax lending by the banks and poor regulation by our politicians. We can argue about the degree to which each group contributed to the crises but trust me that all three share major responsibility. Unfortunately, our politicians have chosen to place 110% of the blame on the banks. It sells well for folks like Obama, Elizabeth Warren and the rest. Red meat for the base as they say.

The result is over regulation in the banking system! Don't blame your mortgage broker he is just a "pawn" in the system who is following the rules as established by the government. Yes! That is correct! The same government that screams about the banks not lending enough! You know what happens when guys like you can't get a mortgage because of stupid government bureaucracy? Business creation dries up, the economy suffers and the desenfranchised become more disenfranchised and more reliant on government. It is a vicious circle and it makes me sad and angry. Gone are the days when a mortgage broker could make a judgment call on someone who was willing to put down a substantial deposit and work hard to get ahead.

[Patiently Watching]

Call Meredith Village Savings Bank and ask for Sue Ross.
She is familiar with this type of situation and can probably help.

[MeredithMan]

She's a great mortgage originator and MVSB is a great bank to deal with. Our mortgage process with them was definitely the smoothest one we have ever had.

[JasonG]

I appreciate the replies. We are looking at southern NH to move to.

Glad I am not alone in this!

[garysanfran]

They are most familiar with the local markets. Quicken won't understand the "collateral" position of NH real estate. Their formula model is different than local lenders and their criteria will be conservative in order to address the general marketplace of a large geography that covers most of the country. This is especially true for insurance companies.

Typically the "bank" that originates a local loan will let it age for a couple of years and then sell the paper "bundled".

You'll get your loan...

[upthesaukee]

Originally Posted by garysanfran

They are most familiar with the local markets. Quicken won't understand the "collateral" position of NH real estate. Their formula model is different than local lenders and their criteria will be conservative in order to address the general marketplace of a large geography that covers most of the country. This is especially true for insurance companies.

Typically the "bank" that originates a local loan will let it age for a couple of years and then sell the paper "bundled".

You'll get your loan...

I could have sworn that Quicken Loans was engineered to amaze. Getting so you can't believe a thing you see on TV.

I agree...deal with the local businesses / institutions. They face this problem virtually daily.

[BroadHopper]

The Service credit union folks and products are second to none!

I have all my services and loans from a credit union. If you are not a member of a credit union, I strongly suggest you do so!

[Major]

Originally Posted by Patiently Watching

Call Meredith Village Savings Bank and ask for Sue Ross.
She is familiar with this type of situation and can probably help.

I was in the same boat, and Meredith Village Savings Bank was great to deal with. Got a great rate too, when they could have taken advantage of my situation.

[Nellie]

I doubt that MVSB will go to Southern NH. Try the credit unions.

[Rusty]

Originally Posted by JasonG

Picture this..Looking for a $250k home, we have $100k+ to put down. Decent credit with some blems from 5+ years ago, income above average. Denied by Quicken Loans for 2 reasons.

It's hard to believe that you have $100K+ to put down, decent credit, and you're turned down.
@ 10 years ago the banks would have been lined up at your door begging you to get a mortgage with them.

Things sure have changed.

[Merrymeeting]

Originally Posted by BroadHopper

The Service credit union folks and products are second to none!

I have all my services and loans from a credit union. If you are not a member of a credit union, I strongly suggest you do so!

Jason, I would second this. I've always had great service from my credit union and the do not sell many of their loans so you get the personal touch you are looking for.

[Misha888]

may be futile. 780 FICO, 40% LTV, straight refi for a lower rate = no results with three local banks. Being self-employed is like having the plague around here and that's having been in business for over 10 years . . . your "move" from FL might make it a little more difficult. They will not add back ordinary things like home office expenses, or truck expenses. If you get a loan, I'd like to know who you went through so that I may try them.

Good luck in your search.

[codeman671]

Try Peter Grace at Newburyport five cent savings bank. He is in the portsmouth nh office. He did wonders for us. They are one of the oldest banks in the area and can be very creative. I have his cell number if you can't find him online. Tell him Jason sent you.

[cominghome]

Salem Cooperative Bank worked with our self-employed son to get a mortgage last year. He speaks very highly of them, and it is my understanding that they keep the loans in-house.

[JasonG]

Originally Posted by Rusty

It's hard to believe that you have $100K+ to put down, decent credit, and you're turned down.
@ 10 years ago the banks would have been lined up at your door begging you to get a mortgage with them.

Things sure have changed.

Yup + my net worth is even more than that, so it is not like we were putting every penny in.

[JasonG]

I actually found St Mary's Banks. Spoke to a mortgage rep there and explain the situation. He was willing to at least take a look. Will see what happens. If nothing, it would appear I have many options from this post.

[Descant]

Try Lynn Christensen at People's. A lot of experience and knowledge of how to do business related personal mortgages. She works all over the state , but mostly southern NH. (603) 424-0084.

[thinkxingu]

St. Mary's is good people. Best of luck.

[SIKSUKR]

Originally Posted by JasonG

I actually found St Mary's Banks. Spoke to a mortgage rep there and explain the situation. He was willing to at least take a look. Will see what happens. If nothing, it would appear I have many options from this post.

I was about to suggest StMarys.I have used them for my checking/savings and 2 mortgage refinances.They had incentives for reduced rates by having direct withdrawals from a St Marys account.Very high rating from me.Oldest credit union in the country.

[trfour]

I highly recommend https://www.usaa.com/inet/pages/bank_main




Terry
____________________________

[LongShort]

Try Norm Frates at Mascoma Savings Bank. I have purchased and refinanced many times and they were by far the easiest to deal with. I was also having trouble with other banks due to self employment and a job change. They made it unbelievably easy when I purchased in Meredith.

[CAVU]

I recommend Lori B from Meredith village savings. She is great to work with.. If its Southern NH try the mortgage specialist. Steve V. They are local company too.

[thinkxingu]

^ Lori at MVSB IS fabulous, but their rates don't compare to the credit unions mentioned.

[bruinsfan]

Try this: https://cjordan.merrimackmortgage.com

She'll get you a great mortgage and no headaches with paperwork. VERY professional office staff.....a dream to work with.

[JasonG]

St Mary's bank came through for us. Quick and easy