February 13th, 2017
Have you ever wanted something so bad that you could taste it? That thing you want so badly can be tantalizingly close at times, and other times so far away you can barely hold onto the dream.
Self employed borrowers know this feeling.
It’s the feeling they have when they start their business.
The feeling of hope and optimism. Of conquering the world, or at least carving out their little slice of it. Of taking care of their families. Of making the money they dream of to take vacations, donate to charities and do the things which make them happy.
But when self employed borrowers have to go and borrow money for something like a business credit line or a home, that’s when their dreams start to get buried in dirt.
They tire of cross eyed looks from bankers who sit behind their desks and pass judgement on their business, their finances and their life choices.
They are told “no” because it’s too much trouble for a lender to sort through a foot tall stack of documents to document their income.
It’s in these moments when their dreams seem to fade.
It happens dozens of times each year. And it happened again last month.
Gene called me after being referred by one of our Realtor partners. He asked if I could take a look at his file but didn’t expect me to be able to do anything with it.
“You probably don’t want to deal with me,” he said… “I’ve been turned down twice already and my situation is pretty complicated.”
At this point I’m thinking to myself…I’ve been at this 14 years, how bad can it be?
Then he says…”I own 17 different businesses and have 18 different tax returns. 1 for each business plus my personal returns.”
Gulp. Ok, that’s a new one for me.
Gathering myself, I give Gene a list of the documents needed to take a look and we set a time to meet.
After digging into his income documentation, our team quickly saw why the other lenders were turning him down.
Yes it was complicated, but the other lenders weren’t accurately analyzing his self employed income.
They were only looking at his adjusted gross income.
We went through it line by line, making sure to stay within compliance and built our documentation to acceptable levels.
Was it difficult? Yes.
But did we get it done? Yes!
And did we help save Gene’s dream of owning the new home he wanted? Yes.
And did we help our Realtor partner earn a nice commission on a $450,000 sale? You bet.
So next time you have a self employed friend or borrower looking for a home, don’t let them wander around in the land of turn-downs to have dirt heaped all over their dreams.
Call The Weeks Team and let our team take the stress out of the process while restoring a little faith in the American Dream.
After all, getting self employed borrowers approved for a loan is just as much art as it is knowing the guidelines. It’s a beautiful mix…and we’re good at it!