April 26th, 2011


First home morgtage failure

Just talked with yet another banker about getting home mortgage.
The same pathetic story all over again:
It's nice that your income can easily cover mortgage payments and you have large downpayment. However your history of self-employment income is too short (just several months). We really cannot use your 10 years history of doing software development, because in the past if was for salary and now you are working independently.
Your expenses are now likely different from the times when you were working on W2.
In any case, we have trouble to fit your application into our process.
Please try again next year after you file your income tax return.

That explains why housing prices are so low right now.
Even people who can clearly afford to buy a house - cannot get mortgage for that.

Bottom line: we are renting again...