If you are planning to buy a home in 2010, please be aware that your Federal Income Tax Returns will play an important part in your loan approval process. If you have not yet filed your tax returns for 2010, please keep the following issues in mind:
1. Claiming Unreimbursed Employee Expenses (Schedule A Line 2106) could result in your loan approval amount being reduced or your home loan could even be denied.
2. Self-employed buyers will qualify for their home loan based on their taxable income, not their gross business income.
3. ing the mortgage interest deduction on behalf of someone else may result in you not qualify as a first-time home buyer.
4. If you don't file a federal income tax return you won't qualify for home mortgage assistance programs.
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