Airbnb Income: How to Qualify for a Mortgage
In 2022, the conventional mortgage still exists. However, the lending market has fashioned additional home loan options that help individuals become homeowners. Among the changes lenders see is how the public earns its income. For example, some individuals receive the bulk of their living wages from Airbnb income.
Mortgage House knows that hosting individuals can earn a significant income. Some hosts make enough to pay their yearly expenses by hosting during peak seasons. However, this income poses a challenge for lenders.
Although governments allot several resources to help homebuyers become homeowners, lenders must practice sound lending. Lenders must ensure that the borrower can repay the debt in full. Nonetheless, alternative home loans exist for entrepreneurs.
To qualify for a mortgage with income from Airbnb, lenders such as Mortgage House will request:
- Three years of tax returns
- Business financial statements for the last three years
- A 20% down payment on the mortgage
These requirements help entrepreneurs qualify for low doc loans. Low doc loans include variable rates, fixed rates, interest-only terms, and toggle offset options.
When you apply, you’ll notice that the home loan options have higher interest rates. The rates offset the lack of full financial documentation. However, this puts the homebuyer in a position to start creating wealth and accruing home equity in the property.
Once you become a Mortgage House client, entrepreneurs receive access to our other products such as our business loan.
Airbnb Income Conclusion
If you make a living off Airbnb income, you can qualify for a home loan. The loan specialists at Mortgage House can help answer your questions and offer some guidance. Contact our team today.