Mortgage Question - UK living in US
Jun 6th 2019, 4:05 am
#1
Just Joined
Thread Starter
Joined: Jun 2016
Posts: 29
Mortgage Question - UK living in US
Hi, wondered if anyone had any thoughts on our situation. It’s a bit of a confusing one.
- We are a British couple in the US
- We have just been accepted for Greencard. Don’t have the card yet. Apparently they are backlogged for a year plus which is crazy.
- We sold our place in the UK and now we are staying here longer, want to bring that money over ($100k+) to buy a place.
A few issues...
- Where we live is expensive and there’s no way we can afford here. We were thinking of buying somewhere small in a desirable area a couple of hours away and rent out on Airbnb whilst we stay and continue to rent our place in currently.
- We are both self employed and our Debt to Income is over 50% because we pay a good deal of rent and we submitted quite low net taxes because of expenses etc.
We have a good deal of money saved to buy, and have 750+ credit ratings each, but it seems like there’s no getting round this debt to income.
Wondered anyones thoughts on this. Are there other loans out there that don’t look at the debt to income? Does the money saved, credit score help as that much or do we just need to start submitting high net taxes next year and see if we can go back and do it then. Ideally we would buy before then. Not sure how much loan we’d need, depending on the property. Maybe between 150-250k.
i have a business and work from home most of the time. I dunno if it’s legit for my company to pay the rent on our property here to take that off the debt to income. Obv don’t wanna do anything which is iffy, not above board.
Any help would be amazing as our bank mortgage guy wasn’t very helpful.
Thanks
- We are a British couple in the US
- We have just been accepted for Greencard. Don’t have the card yet. Apparently they are backlogged for a year plus which is crazy.
- We sold our place in the UK and now we are staying here longer, want to bring that money over ($100k+) to buy a place.
A few issues...
- Where we live is expensive and there’s no way we can afford here. We were thinking of buying somewhere small in a desirable area a couple of hours away and rent out on Airbnb whilst we stay and continue to rent our place in currently.
- We are both self employed and our Debt to Income is over 50% because we pay a good deal of rent and we submitted quite low net taxes because of expenses etc.
We have a good deal of money saved to buy, and have 750+ credit ratings each, but it seems like there’s no getting round this debt to income.
Wondered anyones thoughts on this. Are there other loans out there that don’t look at the debt to income? Does the money saved, credit score help as that much or do we just need to start submitting high net taxes next year and see if we can go back and do it then. Ideally we would buy before then. Not sure how much loan we’d need, depending on the property. Maybe between 150-250k.
i have a business and work from home most of the time. I dunno if it’s legit for my company to pay the rent on our property here to take that off the debt to income. Obv don’t wanna do anything which is iffy, not above board.
Any help would be amazing as our bank mortgage guy wasn’t very helpful.
Thanks
Jun 6th 2019, 11:39 am
#2
Often not so civil...
Joined: Apr 2010
Location: The Boonies, GA
Posts: 9,561
Re: Mortgage Question - UK living in US
When did you sell your house?
Have you investigated the potential implications for US taxation of the UK sale?
A large deposit my all you to get around the DTI, however you'll likely be saddled with a higher interest rate.
Have you investigated the potential implications for US taxation of the UK sale?
A large deposit my all you to get around the DTI, however you'll likely be saddled with a higher interest rate.
Jun 6th 2019, 2:30 pm
#3
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 52,446
Re: Mortgage Question - UK living in US
You are effectively buying an investment property, which makes getting a regular mortgage even more problematic. What you need is a bank that will make a secured loan, as distinct from what most Americans mean when they say "mortgage", which is a specific loan type as defined by the FNMA aka "Fannie Mae".
Only some banks will provide non-FNMA secured loans, mostly smaller ones and local to the area where you want to buy. I'd start by Googling "investor loans" in the area you're looking to buy, then ignore most of the sharks (predatory lenders) that you will find.
Only some banks will provide non-FNMA secured loans, mostly smaller ones and local to the area where you want to buy. I'd start by Googling "investor loans" in the area you're looking to buy, then ignore most of the sharks (predatory lenders) that you will find.
Jun 6th 2019, 4:42 pm
#4
Austin. TX.
Joined: Sep 2013
Posts: 5,930
Re: Mortgage Question - UK living in US
just out of interest, I joined an FB community called "afford anything" it's based around quite a well known blogger and I notice there are a lot of questions on there just like yours. Might be worth checking out?
