Proof of steady income for the self-employed can be more complicated, but you can still qualify if you provide the right documentation.
The FHA does not require professionally prepared business reports. However, having a pro look at your income and profit and loss (P/L) statement is money well spent. If you use a certified public accountant (CPA), the CPA can strengthen your application by providing a letter stating he has first-hand knowledge that you have been employed for two years in the same or a similar enterprise.
Make sure you address any outstanding credit issues, disputes with vendors or tax problems before submitting an FHA loan application. Continue reading “Be prepared: Your loan officer will be much more thorough in examining your documentation”