Hi, first time reader first time buyer. Throwaway here to avoid tying financial info to my real user.
Recently got pre-approved for a $500k mortgage /w a reputable local broker, started looking. Fell in love a home on our first day out with a realtor. Put in an offer for $500k/$100k down/conventional and won out over a few others. We've been under contract now for a week and have begun the process toward closing.
The broker has started putting together the required paperwork to get my application prepared and has started asking about specific unseasoned desposits/etc into checking and savings. For those recent deposits under question I can easily produce documentation. Everything else seems to be going smooth.
However, in learning how all this works and why they are looking to validate this stuff, I came to a realization that has kept me up all weekend: A non-trivial portion of my $100k savings for downpayment came from a signing $55k bonus (~35k-ish after taxes) that I received when joining my current company in 09/2016. The bonus was paid to me as normal income and declared + taxed as such on my W-2 for '16 However, the bonus came with an agreement that it is paid back if I leave the company within 2 years, of which I'm approaching the halfway mark next month. This type of thing is commonly used to lure talent in the tech world.. Needless to say, I have no plans on leaving the company within the next year.
My income currently is $200k base salary with very little debt, which was verified by the broker using a third party verification service. They noticed, however, that the salary reported for '16 by the service did not match my reported W-2 because it did not include said bonus. The verification service explicitly states in the verifier that their numbers do not include bonuses and the W-2 should be considered correct. I have very little debt of any kind otherwise (roughly $4-5k)
My question is, will underwriters notice the discrepancy between salary verification+W-4, question it, discover the 'loan' I currently have and rule against the loan? Or will they likely not dig that deep considering the deposit was almost a year ago, and in all other respects I do not represent a risky borrower. Does the money I 'owe' the employer simply count to my low DTI or is it considered something else because we're talking about downpayment/closing costs.
If anyone has any experiences and insights they can share it would be appreciated. I know these are questions for my broker but it is the weekend and I don't want to disturb them because I was up all night on Google reading horror stories. 🙂
Thanks in advance
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