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For you concerned mortgage seekers
Old 11-15-2016, 11:59 PM   #1
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For you concerned mortgage seekers

Retired 01/2015, sold home 05/2015, moved twice and rented until present.
I too was concerned about obtaining a mortgage as a non-employed retiree. We are now in Oregon, found a house and spoke with two lenders, one of which was WF. Am on pension and early SS as 95% of income. No debt, credit scores in 80's and substantial assets. Both lenders told us we were "text book borrowers" and that our income was considered superior to earned income since it was classified as "guaranteed income" (you know, we can't be fired from a job). We plan to put down only 30% down payment and mortgage +/- $340k. We were shocked to learn that both lenders said we could afford a $1MM house on just those sources of income, one pension and one SS, not even considering our assets most of which is tax deferred. In our case I believe it makes sense to borrow at our lock-in rate of 3.45% on a 30 yr. and leave the tax deferred to grow at hopefully higher ROR before the day of tax reckoning. I guess my point is, if you have good credit, little to no debt and average income, no retirees should have any worry whatsoever getting a mortgage loan. Of course we are not thrilled about having a morgage payment again, but can easily handle it and it makes sense in our circumstance. And the days of itemized deductions are here again!
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Old 11-16-2016, 11:20 AM   #2
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The pension and SS make a big difference... they are better than salary...

Without those, you are not making income according to the lenders.... most of the talk has been from people who do not have either of the two...
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Old 11-16-2016, 04:11 PM   #3
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The problem we found is they would not take a copy of our pension checks or ss checks (we were trying to get a heloc). They wanted a letter from each. We tried to get one from former employer but gave up after several runarounds. Ended up just getting a plain LOC.
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Old 11-16-2016, 06:42 PM   #4
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It depends on the company. Some will take a copy of the pension check.
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