B3-3.3-06, Mortgage Differential Payments Income (03/04/2026)

Mortgage differential payments from a borrower's employer are intended to subsidize the borrower's mortgage payments by paying all or part of the interest differential between the borrower's past and current mortgage payments.

The following table provides requirements for mortgage differential payment income.

Criteria	Requirements
Documentation	The lender must obtain written verification from the borrower's employer confirming the subsidy and stating the amount and duration of the payments, such as a written agreement between the borrower and employer. Additionally, a verbal VOE is required. See B3-3.1-04, Verbal Verification of Employment B3-3.1-04, Verbal Verification of Employment, for specific requirements.
Income History	There is no set minimum history requirement for inclusion as qualifying income.
Income Continuance	The lender must document that the income is expected to continue for at least three years from the note date.
Determination of Qualifying Income	The lender may add the full amount of the payment to the borrower's monthly income, and not as an offset to the mortgage payment.