This Article Is AboutThe Real Truth About Unemployment And Qualifying For Mortgage
Here’s something that most Americans including the smartest and most educated don’t know is that the official unemployment rate as reported by the U.S department of labor, is extremely misleading. Lately, we’ve been hearing much celebrating from the media, the White House, and the Wall Street Journal about how unemployment has decreased and is now down to below 4%. If you’re anything like me (a skeptic) and if what the government says sounds somewhat too good to be true, well guess what, it usually is.
The medial loves come backstories:
- the White House is looking to score political points
- the Wall Street Journal is looking to stay relevant and alive
- the Democrats are crazier than ever and losing their minds
The United States finally has a true leader,President Donald J. Trump who is running our Great Country like a business.
The Real Truth About Unemployment And Finding Work
Neither of which are telling or will tell you the truth, just think of this for a second, if you, a family member or anyone else who’s unemployed has had difficulty finding work:
- Some has subsequently given up the Department of Labor no longer counts you as unemployed
- That’s right
- While you’re as unemployed as one can be (by no fault of your own) you are not considered unemployed and thus not counted in the figures the media advertises
Right now there are approximately 30 million people out of work or severely unemployed.
The Real Truth About Unemployment And Is It Misleading?
Here’s another reason why the official rate is so misleading:
- Say you’re an out of work healthcare or engineer worker, construction, or retail manager if you perform at a minimum 1 hour of work a week and are paid $20/hr (maybe someone pays you to mow their lawn) you are not considered out of work
- Therefore not considered unemployed- the government doesn’t count you in the 5.6%, few Americans know this
Yet another figure of importance that doesn’t get much coverage. Those working part-time but really want full-time work or If you have a degree in chemistry or math for example and are working only 10 hours a week. This is because that’s all you can find-in other words (severely unemployed) you also are not counted in those figures, few Americans know this as well.
The truth is, the official unemployment rate of 4% is very misleading and not the truth by any stretch of the imagination.
The Real Truth About Unemployment On Permanent Versus Temporary
It’s a lie with consequences that cruelly overlooks the long term and permanently unemployed as well as the underemployed:
- All of which and by enlarging to no fault of their own are subsequently statistics
- Subjects of the current administration’s policies and clearly the policies of the left and it’s a lie that has consequences, how you ask?
- Because it’s the great American dream to have a good job, in recent years America has failed to deliver that dream more so than in recent memory
The Real Truth About Unemployment And The Ideal Job
A good job is an individual’s primary identity and self –worth not to mention one’s dignity. It establishes relationships they have with friends, family, community, and country. When we as a nation fail to deliver a good job that fits a citizen’s talents, training, and experience we are failing the great American dream. A good job is typically defined as 30 + hours per week with an organization that provides a regular paycheck, not too long ago that wasn’t too much to ask for and was the norm.
Right now, the U.S. is delivering at a staggeringly low rate of 44% which is the number of full-time jobs as a percentage of the adult population 18 years and older. We need to be around 50% at a bare minimum and at least 10 million new jobs need to be created to replenish America’s middle class.
We hear time and time again that “unemployment “ is reduced. But if you really ask the people they’ll tell you they’re not feeling or seeing it.
The Media talking heads, the White House, and the Wall Street Journal report the truth the percentage of Americans in good jobs:
- jobs that are full-time and real then we will quit wondering why Americans aren’t “feeling “ something that doesn’t reflect the reality in their lives
Qualifying For Mortgage After Extended Period Of Unemployment
Homebuyers do not need two years of continuous employment history to qualify for home mortgages. Days of stated income or no income verification are long gone. Lenders need income verification. Gustan Cho Associates offers no income tax mortgages for W-2 wage earners. We also have 24 months bank statement mortgages for self-employed borrowers where no income taxes are required. However, lenders do need income verification.
Borrowers can qualify for home loans after extended periods of unemployment. If a borrower has been a 1099 wage earner and goes to a W-2 wage earner, there is no waiting period. If a borrower has a gap in employment for less than 6 months, there is no waiting period. If the borrower goes from W-2 wage earner to 1099 wage earner, then there is a two-year waiting period as 1099 wage earner and tax returns are required. If a borrower has an employment gap for six or more months, there is a six-month seasoning requirement to qualify for mortgages.
About The Author
Alex Carlucci is a senior loan officer at Gustan Cho Associates. Alex is also a contributing editor and writer for Gustan Cho Associates Mortgage And Real Estate Information Center. Alex is a senior moderator for Mortgage Portal.
Alexander Thomas Carlucci is a real estate investor and is an expert in all areas of real estate from investments, to rentals, and mortgage lending. Alex’s passion is helping others and realizes the importance of helping home buyers realize the dream of homeownership become a reality. Due to the complex mortgage lending guidelines, Alex fully understands the importance of helping borrowers who had prior bad credit, lower credit scores, and higher debt to income ratios who need financing. Alex Carlucci is always training and getting updated with new mortgage regulations and guidelines.
Alex is currently training to get his DE Mortgage Underwriting Certification. Alex is looking forward to furthering his career as a mortgage loan officer with Gustan Cho Associates and his team of mortgage loan originators. We are looking forward to the upcoming new articles by Alex Carlucci in the days and weeks to come. Stay tuned!!!
