Tag Archive: income

When buying a house, should I use my gross income or net income to determine what I can afford?

September 3, 2014 by 2 Comments

There’s a big difference between your gross income and your net income. Your gross income is the money you earn each month before taxes are removed. Your net income is that same income after taxes are removed. No surprise, your net monthly income is usually much lower than your gross monthly income. When it’s time to buy... View Article

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4 Steps to Turn Your Rental Property into a Smart Passive Income Stream

July 29, 2014 by Leave a comment

As discussed in the first part of these series on Rental Properties as Passive Income, Is Real Estate Really Passive Income?, real estate and rental properties aren’t an immediate gateway to a passive income stream. Often, it takes hard work and a serious investment of time before properties you own can run as turnkey operations that require little... View Article

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Is Real Estate Really Passive Income?

July 24, 2014 by Leave a comment

Many people think buying a second property for the purpose of renting the unit to tenants or investing in real estate will create a great form of passive income. But the reality can be far different. The majority of people don’t start with a turnkey operation that immediately generates income without the additional investment of time and... View Article

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I’m applying for a mortgage loan. What factors could lead to a lender denying my application?

June 25, 2014 by Leave a comment

Lenders look at several factors when determining who does and does not qualify for a mortgage loan. If you want to avoid a rejection of your loan application, watch out for these red flags: Credit score: Your three-digit credit score is one of the most important numbers for lenders. It tells them whether you have a history... View Article

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3 Ways to Overcome a High Debt-to-Income Ratio

May 28, 2014 by 1 Comment

“Debt-to-income ratio” is a phrase you’ll run into often once you decide to buy a house. All lenders seriously consider a borrower’s debt and income in considering an application. However, not every borrower has a perfect debt to income ratio, and some ratios are down-right discouraging. But if you don’t have a good debt to... View Article

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I was denied a loan by a previous lender, but I’m ready to buy a home now. Where do I start?

May 27, 2014 by Leave a comment

Qualifying for a mortgage loan is not always the easiest task. You’ll have to meet certain financial requirements to convince lenders that you are a good risk to pay back your loan. If you’ve applied for a mortgage loan in the past only to see your application rejected, the first step is to determine what... View Article

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