Airbnb and Fannie Mae have partnered to provide homeowners a way to report rental earnings as part of their income when refinancing their home. The caveat? So far, this benefit only applies when refinancing through the select lenders they have formed partnerships with. So far, this list includes Quicken Loans, Better Mortgage, and Citizens Bank. Should this program go well, Fannie Mae may consider extending it to all of its lenders.
“This initiative was developed with Fannie Mae to identify new ways of recognizing home-sharing income, making it possible for homeowners to maximize their investment to better reach their financial goals,” Airbnb said in a statement. “The project is part of Fannie Mae’s work to find new, innovative ways to expand the availability of affordable mortgage credit.”
With this initiative, homeowners who have rentals with Airbnb may now find it easier to go through the refinancing process, eliminating the delays, higher interest rates, and other loan limitations they have been encountering. Airbnb will supply its hosts/homeowners with a proof of income statement that they may provide the lender, enabling them to take advantage of lower rates or to tap into the equity brought about by rising home prices.
Have more questions or want to know how to get started? You can access Airbnb’s blog on how to find your Proof of Income or get started with one of their lenders here.