Will an underwriter approve a mortage without 2 years of past tax returns?
Tanya asked:
We have applied for an FHA mortage, It is currently with the underwriter and everything seems to be going fine. Today he asked for permission to look for copies of tax returns from the IRS. The problem is we haven’t filed in 2 years. I made an appointment to have them done tomorrow, but because they are overdue I have to mail them in manually. My tax person told me she can give me copies to prove they have been filed, Will we be denied our loan?
We have shown proof of income through check stubs, W-2 and a 1099. We just don’t have the taxes filed as of yet. But we will. And can show the underwriter proof of that.
Jacob
We have applied for an FHA mortage, It is currently with the underwriter and everything seems to be going fine. Today he asked for permission to look for copies of tax returns from the IRS. The problem is we haven’t filed in 2 years. I made an appointment to have them done tomorrow, but because they are overdue I have to mail them in manually. My tax person told me she can give me copies to prove they have been filed, Will we be denied our loan?
We have shown proof of income through check stubs, W-2 and a 1099. We just don’t have the taxes filed as of yet. But we will. And can show the underwriter proof of that.
Jacob
February 8th, 2010 at 1:39 am
Dawn
Its pretty hard to qualify for a large loan (mortgage) without a stable work record. If you just were self employed for the last two years, you must have made enough to file a return. That doesn’t seem to be the case here. Do what you can and put at least 20% down, and pray – pray – pray!
February 11th, 2010 at 12:56 pm
Tim
You very possibly will be denied the loan.
February 12th, 2010 at 4:49 pm
Glen
The copies from the preparer are not proof of what you filed. The underwriter can reject the loan or cause you to wait another 2 months until they are processed.