Can I use Social Security or pension income for conventional?
Yes. Both are accepted as stable qualifying income with documentation. Social Security retirement, SSDI, and pension income don't have a fixed end date in most cases, so likelihood-of-continuance is generally not an issue. Non-taxable portions can sometimes be grossed up.
Plain-English explanation
Documentation: most recent award letter (Social Security or pension), 1099 or 1099-R if applicable, bank statements showing deposit. Continuance verification: Social Security retirement and pension are usually treated as continuing for life. Non-taxable income gross-up rules vary by lender. Subject to Fannie/Freddie guidelines.
What can change the answer?
Documentation type, employment stability, year-over-year trends, and any recent job/business changes can change the answer.
Want the real answer for your conventional file?
Conventional guidelines are the rule. Your credit, income, DTI, PMI, LLPAs, and Florida payment math are what decide the actual answer.
More conventional questions on Income
Educational only. Conventional loan guidelines, lender overlays, rates, fees, PMI, LLPAs, and underwriting requirements can change. Final eligibility depends on full underwriting review.