Honestly, I’ve had the opposite experience with a couple of local lenders. They actually took my Airbnb income into account, but only after I’d shown about two years of tax returns. It’s wild how much it varies—some places just stick to the rulebook, others are more flexible if you can prove consistency. Did you ever try a credit union or smaller bank? Sometimes they’re less rigid than the big guys. Not saying it always works, but it’s worth a shot. The “seasoned” thing is such a pain, though... two years feels like forever when you’re trying to scale up.
I get what you’re saying about smaller banks and credit unions being more flexible, but honestly, I’ve found it’s hit or miss. I tried a local credit union last year, thinking they’d be more open-minded about my side hustle income, but they were actually stricter than the big banks—wanted three years of returns and a ton of documentation. Sometimes it feels like there’s no rhyme or reason to who’ll work with you. If you’re running into the “seasoned” income wall, one workaround I’ve used is partnering with someone who has W2 income, just to get in the door. Not ideal, but it can speed things up if you’re trying to scale before that two-year mark.
Sometimes it feels like there’s no rhyme or reason to who’ll work with you.
Totally get that. I’ve had lenders bend over backwards one year, then slam the door the next—same docs, same income. Partnering with a W2 earner is smart, even if it’s not perfect. Just gotta keep pushing through the hoops.
It’s wild how inconsistent lenders can be from year to year, even with the same financials. I’ve seen folks get approved at one bank, then turned down flat at another, no matter how clean their paperwork is. Partnering with a W2 earner definitely helps smooth things out, but it’s not a magic bullet—sometimes underwriters just get picky about certain debts or side gigs.
I’m curious if anyone here has actually had luck with smaller local banks or credit unions when the big guys said no? In my experience, they sometimes look at things with a bit more nuance, especially if you can explain your situation face-to-face. Of course, you still have to fit their guidelines, but I’ve seen some surprising approvals that way.
It’s frustrating, but sometimes it’s less about your numbers and more about where you’re applying and who’s looking at your file that day... Anyone else notice that?
Had to laugh reading this because it’s so true—mortgage approvals sometimes feel like a roulette wheel. I’ve had deals where the local credit union was way more open-minded than the “big name” banks, especially when my income looked funky on paper (hello, self-employment). One time, the underwriter actually called me to talk through a weird 1099 situation...try getting that level of human interaction from a national lender. Still, even the small guys have their quirks. I swear, half the process depends on whether your file lands on someone’s desk before or after their coffee.