House buying
I am planning to buy a house in range of 1.7M-2M in the Bay Area Currently own a condo and have 500K as balance. I have enough down payment for new house. While talking to Wells Fargo, the agent mentioned that I can only qualify for 1.2M. However, if I sell my house, I can get that limit. Is there any way I can purchase new home without selling old one since I don’t want the hassle to move into a temporary house. Are there lenders which consider stock income? Or possibly interest only loan?#mortgage #mortgage #housing #sanfrancisco TC:1.2M+ yoe: 8
Yes they do consider stock income if it meets their requirements - usually 2 year vesting history and proof of future vesting with company ipo at least for a year.
Get a different mortgage lender
Any suggestions?
Shop around? Different lenders may have different risk tolerance
Can you make an offer on your new house with a sale contingency on your condo? I’ve done that in the past… essentially your purchase is voided if your condo doesn’t sell in a certain amount of time. That contingency makes your offer weaker to the sellers, but sounds like an option. Tricky component is you need to get the timing right, but could work depending on how the real estate market is there.
Usually your offer won’t get accepted
What's your TC and YOE?
Added
Wow!! What level are what’s your job title? That’s an amazing TC
Following sheesh for real
Wait one year and with that TC you would have saved enough to cover the delta on your own, without needing the loan?
It’s always good to get a loan, even if you have enough cash.
It sounds strange to me that you can only qualify for 1.2M with that TC and unvested equity.
Most of it is stocks and lender is not considering it
I remember when I financed with Citibank my agent told me they treat stocks at 70% value. Try other banks.
With that much tc only buying a 2 m house ?
Cannot find a lender to sponsor
Why not? Is your tc all unvested?
You can try and do a sale and lease back of your existing home. That would then give you the cash and extra time in your current home to go find the next one and move in.
Problem is that I might not find a home in that period
Tc or gtfo But if the only way you can afford a house is stock income you shouldn’t buy that house. Interest only loans don’t exist for residential home buyers
If you're at a good company where the stock is unlikely to go down over the long term, it's fine. In tech, stock income can account for more than half your TC, so it's silly to ignore that.