B3-3.4-04, Boarder Income (03/04/2026)

Income from boarders residing in the borrower’s principal residence or second home is not considered acceptable stable income with the exception of the following:

• When a borrower with disabilities receives rental income from a live-in personal assistant, whether or not that individual is a relative of the borrower, the rental payments can be considered as acceptable stable income in an amount up to 30% of the total gross income that is used to qualify the borrower for the mortgage loan. Personal assistants typically are paid by Medicaid Waiver funds and include room and board, from which rental payments are made to the borrower.
• The HomeReady mortgage eligibility requirements include an additional exception. See Chapter B5-6, HomeReady Mortgage.

The lender must obtain:

• the boarder's history of shared residency (such as a copy of a driver's license, bills, bank statements, or W-2 forms) that shows the boarder's address as being the same as the borrower's address, and
• receipt of income for the most recent 12 months using sources including, but not limited to:
  • bank statements
  • cancelled checks, or
  • evidence of other electronic receipt of payments.

• A minimum of 12-month history is required.
• The payment history must demonstrate the stability of the income, as reflected in the receipt of full, regular, and timely payments.