Wednesday, September 9, 2009

Non-Taxable Income

What percentage can you use to gross up Non-Taxable income?

We use 125% of the total income. EX: If someone receives Social Security Disability from the US Government in the amount of $1,000. We would use $1,250 as the qualification income. The lender uses the 25% gross up ratio because we normally use Gross income to qualify borrowers.

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