Gambling activity and mortgage approval

[westcoasterforlife]

My spouse did some gambling in 2009 at the $40K level (won some, then lost some), but was probably down about $7500 for the year. With mortgage companies requesting tax returns to obtain loans, will this affect our ability to get a mortgage at a decent rate? We have 20% down, very stable jobs, and great credit scores. Any thoughts on this would be welcome.

[EJ]

If you are using the loss as a deduction, I believe it will be subtracted from your I side of the DTI ratio. I had a home office deduction on my taxes that was deducted from income for the DTI calc. I closed in Oct, and they were pretty thorough in the underwriting.

Talk to a pro about current standards. Sheldon helped me get my finance documents in order well ahead of going into escrow (also because I was so picky about finding a house). Be sure your DP is seasoned and you don’t have any bank deposits other than your W2 income (if possible). I was cashing my girlfriends rent contribution at the time, so I wouldn’t have any deposits.

However, I am not sure if there are guidelines about heavy gambling wrt credit worthiness.

Is he playing poker? I would like to get some of that $7500 😉

[EJ]

If you are using the loss as a deduction, I believe it will be subtracted from your I side of the DTI ratio. I had a home office deduction on my taxes that was deducted from income for the DTI calc. I closed in Oct, and they were pretty thorough in the underwriting.

Talk to a pro about current standards. Sheldon helped me get my finance documents in order well ahead of going into escrow (also because I was so picky about finding a house). Be sure your DP is seasoned and you don’t have any bank deposits other than your W2 income (if possible). I was cashing my girlfriends rent contribution at the time, so I wouldn’t have any deposits.

However, I am not sure if there are guidelines about heavy gambling wrt credit worthiness.

Is he playing poker? I would like to get some of that $7500 😉

[EJ]

If you are using the loss as a deduction, I believe it will be subtracted from your I side of the DTI ratio. I had a home office deduction on my taxes that was deducted from income for the DTI calc. I closed in Oct, and they were pretty thorough in the underwriting.

Talk to a pro about current standards. Sheldon helped me get my finance documents in order well ahead of going into escrow (also because I was so picky about finding a house). Be sure your DP is seasoned and you don’t have any bank deposits other than your W2 income (if possible). I was cashing my girlfriends rent contribution at the time, so I wouldn’t have any deposits.

However, I am not sure if there are guidelines about heavy gambling wrt credit worthiness.

Is he playing poker? I would like to get some of that $7500 😉

[EJ]

If you are using the loss as a deduction, I believe it will be subtracted from your I side of the DTI ratio. I had a home office deduction on my taxes that was deducted from income for the DTI calc. I closed in Oct, and they were pretty thorough in the underwriting.

Talk to a pro about current standards. Sheldon helped me get my finance documents in order well ahead of going into escrow (also because I was so picky about finding a house). Be sure your DP is seasoned and you don’t have any bank deposits other than your W2 income (if possible). I was cashing my girlfriends rent contribution at the time, so I wouldn’t have any deposits.

However, I am not sure if there are guidelines about heavy gambling wrt credit worthiness.

Is he playing poker? I would like to get some of that $7500 😉

[EJ]

If you are using the loss as a deduction, I believe it will be subtracted from your I side of the DTI ratio. I had a home office deduction on my taxes that was deducted from income for the DTI calc. I closed in Oct, and they were pretty thorough in the underwriting.

Talk to a pro about current standards. Sheldon helped me get my finance documents in order well ahead of going into escrow (also because I was so picky about finding a house). Be sure your DP is seasoned and you don’t have any bank deposits other than your W2 income (if possible). I was cashing my girlfriends rent contribution at the time, so I wouldn’t have any deposits.

However, I am not sure if there are guidelines about heavy gambling wrt credit worthiness.

Is he playing poker? I would like to get some of that $7500 😉

[DataAgent]

Unless your spouse is a professional gambler, gambling losses are only deductible against gambling winnings. Your $7500 loss should not appear on your return because it’s not deductible against any other income.

Here’s the IRS writeup:
http://www.irs.gov/taxtopics/tc419.html

[DataAgent]

Unless your spouse is a professional gambler, gambling losses are only deductible against gambling winnings. Your $7500 loss should not appear on your return because it’s not deductible against any other income.

Here’s the IRS writeup:
http://www.irs.gov/taxtopics/tc419.html

[DataAgent]

Unless your spouse is a professional gambler, gambling losses are only deductible against gambling winnings. Your $7500 loss should not appear on your return because it’s not deductible against any other income.

Here’s the IRS writeup:
http://www.irs.gov/taxtopics/tc419.html

[DataAgent]

Unless your spouse is a professional gambler, gambling losses are only deductible against gambling winnings. Your $7500 loss should not appear on your return because it’s not deductible against any other income.

Here’s the IRS writeup:
http://www.irs.gov/taxtopics/tc419.html

[DataAgent]

Unless your spouse is a professional gambler, gambling losses are only deductible against gambling winnings. Your $7500 loss should not appear on your return because it’s not deductible against any other income.

Here’s the IRS writeup:
http://www.irs.gov/taxtopics/tc419.html

[SK in CV]

I have no idea whether gambling losses would affect your ability to get good financing. I’m also not sure what “gambling …at the $40K level” means. If you’re saying you have $40K in reportable winnings and losses that exceeded those winnings by $7500, then it certainly should, depending on your other income, affect your ability to get good financing.

[SK in CV]

I have no idea whether gambling losses would affect your ability to get good financing. I’m also not sure what “gambling …at the $40K level” means. If you’re saying you have $40K in reportable winnings and losses that exceeded those winnings by $7500, then it certainly should, depending on your other income, affect your ability to get good financing.

[SK in CV]

I have no idea whether gambling losses would affect your ability to get good financing. I’m also not sure what “gambling …at the $40K level” means. If you’re saying you have $40K in reportable winnings and losses that exceeded those winnings by $7500, then it certainly should, depending on your other income, affect your ability to get good financing.

[SK in CV]

I have no idea whether gambling losses would affect your ability to get good financing. I’m also not sure what “gambling …at the $40K level” means. If you’re saying you have $40K in reportable winnings and losses that exceeded those winnings by $7500, then it certainly should, depending on your other income, affect your ability to get good financing.

[Author]

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