Two COVID-19 Adjustments to be Aware of if You’re a Self-Employed Borrower
November 18, 2020
f you’re self-employed and partaking in the COVID-19 housing environment, here are a couple things you should know as you begin the journey:
- Income and Asset Documentation: Under non-COVID circumstances, self-employed borrowers have flexible requirements in order to obtain a mortgage without the traditional documentation. However, it is important to note that expiration dates for documents are currently 60 days as opposed to the usual 120 days.
- Additional Documentation: There are also modifications due to coronavirus regarding the required documents in the mortgage application process.
- Audited or Unaudited year-to-date (YTD) Profit and Loss Statement (P&L). It must be signed by you (the borrower) and it must report business revenue (i.e. gross receipts or sales), expenses and net income. The YTD P&L must also include the most recent month preceding the application received date.
- Two (2) months’ business account statements dated within the previous 60 days represented on the YTD P&L.
f you’re self-employed and partaking in the COVID-19 housing environment, here are a couple things you should know as you begin the journey:
- Income and Asset Documentation: Under non-COVID circumstances, self-employed borrowers have flexible requirements in order to obtain a mortgage without the traditional documentation. However, it is important to note that expiration dates for documents are currently 60 days as opposed to the usual 120 days.
- Additional Documentation: There are also modifications due to coronavirus regarding the required documents in the mortgage application process.
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- Audited or Unaudited year-to-date (YTD) Profit and Loss Statement (P&L). It must be signed by you (the borrower) and it must report business revenue (i.e. gross receipts or sales), expenses and net income. The YTD P&L must also include the most recent month preceding the application received date.
- Two (2) months’ business account statements dated within the previous 60 days represented on the YTD P&L.