Good points here, especially about lenders getting stuck on minor details. I've also noticed that sometimes even specialized lenders can struggle if your income streams are really unconventional (crypto, royalties, etc.). Makes me wonder—has anyone had experience with lenders handling truly unusual income sources smoothly? Curious how they navigated that...
"I've also noticed that sometimes even specialized lenders can struggle if your income streams are really unconventional (crypto, royalties, etc.)."
This is a good observation. A few years back, I had a similar experience when refinancing my home. My income was partly from royalties and freelance consulting, and the lender initially seemed confident but then got bogged down in documentation. They wanted extensive proof of consistency and future projections, which was tricky given the nature of royalties. Eventually, I found that smaller, local credit unions were more flexible and willing to look at the bigger picture rather than just ticking boxes. They took time to understand my situation and accepted alternative documentation like contracts and historical payment records. It wasn't exactly smooth sailing, but it was definitely less stressful than dealing with bigger institutions. I'd recommend exploring local options if you haven't already—they might surprise you with their flexibility.
Interesting points all around.
"Eventually, I found that smaller, local credit unions were more flexible and willing to look at the bigger picture rather than just ticking boxes."
Did you find they offered comparable rates to bigger lenders, though? My experience with local credit unions has been mixed—yes, they're more flexible and understanding with weird income streams (mine's mostly freelance and crypto), but sometimes their rates weren't as competitive. Curious if you noticed that too or if maybe I just got unlucky...
I've had similar experiences myself. When I was refinancing a rental property last year, the local credit union was way more open-minded about my freelance and investment income than the big banks. But yeah, their rates were slightly higher—maybe around 0.25-0.5% more than the bigger lenders quoted me. Still, the flexibility and less hassle made it worth it for me, especially since my financial situation isn't exactly cookie-cutter...
"Still, the flexibility and less hassle made it worth it for me, especially since my financial situation isn't exactly cookie-cutter..."
Yeah, totally get this. I've found smaller lenders or credit unions can be a lifesaver when your finances don't neatly tick all the boxes. Had a similar thing happen when I was developing a small multi-unit project—big banks just saw risk everywhere, but a local lender actually took the time to understand the project details. Sure, rates weren't rock-bottom, but avoiding endless paperwork and headaches was worth paying a bit extra...
