Borrowers self employed, don't have enough to qualify, can they use W2 income also?I've got a California couple who own their own business. Due to tax deductions, they do not show enough income in 2 year average to qualify for FHA high balance purchase loan (5-8% down). The 2011 income is much higher than 2010. The tax returns also show signficant W2 income - certain companies do not allow contracted work and insist on W2 work for the needed assignment. And the w2 work ended last July, so I can't use it as continuing. Does anyone out there think they could make this work, say by just using 2011 (one year) 1099 income, or by somehow being able to count the w2 income as 1099 since it was derived through the self employment?January 18 2012 - San Francisco00YesReport a ProblemProblemSelect oneOffensive contentIrrelevant contentSpam (pure self-promotion)OtherDetailsYour emailPlease enter a valid email address.Submit CancelContent flaggedWe will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.We're sorry. This service is temporarily unavailable. Please come back later and try again.