Which of the following does NOT qualify as eligible income for mortgage qualification?

Which of the following does NOT qualify as eligible income for mortgage qualification?

• A. Employment income
• B. Investment income
• C. Social assistance income
• D. Business income

Answer: (C)

When considering eligible income for mortgage qualification, lenders typically evaluate various types of income to assess a borrower's ability to repay the loan. Employment income, investment income, and business income are generally recognized as reliable sources that demonstrate financial stability and the capacity to meet mortgage obligations. Social assistance income, on the other hand, is often not considered eligible for mortgage qualification because it can be unpredictable and may not provide a consistent or sufficient level of financial support. Lenders prefer steady income sources that can be verified and assessed over time, as they mitigate risk by ensuring that borrowers can afford their mortgage payments. Therefore, while social assistance income may provide valuable support to an individual, it does not typically meet the criteria that lenders use to determine mortgage suitability.

When considering eligible income for mortgage qualification, lenders typically evaluate various types of income to assess a borrower's ability to repay the loan. Employment income, investment income, and business income are generally recognized as reliable sources that demonstrate financial stability and the capacity to meet mortgage obligations.

Social assistance income, on the other hand, is often not considered eligible for mortgage qualification because it can be unpredictable and may not provide a consistent or sufficient level of financial support. Lenders prefer steady income sources that can be verified and assessed over time, as they mitigate risk by ensuring that borrowers can afford their mortgage payments. Therefore, while social assistance income may provide valuable support to an individual, it does not typically meet the criteria that lenders use to determine mortgage suitability.