The Income Calculator uses tax return data to calculate monthly income based on current Selling Guide requirements before loan case file submission. It provides the qualifying income amount along with actionable messages to help avoid common errors.
Read next: How to get a mortgage for self-employed clients
“Whether through our new web-based user interface or through an integrated technology service provider, Fannie Mae’s Income Calculator simplifies the process of underwriting the qualifying income of self-employed borrowers, which traditionally has been a challenging and time-consuming operation for lenders,” Mark Fisher, vice president of single-family credit risk solutions, said in a media release.
Lenders can utilize the free web-based interface directly on Fannie Mae’s website for manual calculations. Or, they can partner with an authorized technology provider to completely automate income verification within their existing underwriting systems. More integrations with providers are expected soon.
“With the launch of our new web interface, originators now can select the solution that best aligns with their processes and meets their needs while saving time and improving certainty in the quality of the loan,” Fisher added.
