High Income and High Debt, One Way To Buy a House Post-Divorce

Today, I'm here to talk about a doctor. The doctor and his wife were getting a divorce and the wife is going to stay in the old house, and this means that the doctor needs a new place to stay. It's either rent or buy. The doctor wants to buy right now, and this is how we help him.

Hi, this has Benson Pang with NestMade Mortgage I'm the broker owner of the company. So doctor came up to me a couple of months ago wanting to buy a house. The reason why he wants to buy house is he just got a divorce with his wife. Between the doctor and his wife, they have six cars - leased, owned. They have a house they own together, and the house has been passed off to the wife.

So you would think that, hey, maybe if he goes to buy another house, he might still qualify for it. Well, yes, there is a way to help him qualify for that next house, but planning is key here. So we thought as a mortgage broker, we work with 29 different lenders, we have numerous solutions for our clients, and this is one of the times where we use our mortgage broker brain.

We put on our mortgage broker hats and we found a solution for him. It's called a no ratio loan. No ratio loan is something that we don't look at your tax return, your W2, your paycheck stub. It is a CDFI community program that we have a couple of lenders that we work with. So for you to qualify this loan, you don't have to show any income, any employment.

The goal is for him to buy a house first. So we always come up with an exit strategy when it comes to no ratio loan because that's probably not the loan that he wants to stay in forever. So the strategy, he actually can qualify for a jumbo loan or a conventional loan when he's ready.

And how we're getting him ready is we found out that his wife is actually paying for the mortgage, but not directly to the mortgage company. The wife is paying the mortgage to the doctor and the doctor pays to the mortgage company.

Now we're going to make a switch real quick and have the wife pay the mortgage company directly, create a 12 month continuance, and then in 12 months hopefully we can show the bank, the lender that the wife is actually making the payment for the old house. And we will be able to eliminate omit the payment from his credit report.

If you guys have any questions, if this story resonated with you, your family, or anyone around you, please have them reach out to me and my loan partners. We're more than happy to help you.