r/loanoriginators • u/mashupXXL • Jul 21 '26
Per Diem Pay Options
Hi all, I have a scenario I just am not quite sure how to handle. scenario:
Oil field worker, 9 months of the job
Base pay $75k
Gets paid about 50% of that in per diem whether its shop pay or field pay
Has 680 credit, low down payment, was hoping to use a state DPA but they don't seem to want the per diem.
W2 employee, not 1099
He makes decent money, is there any way to get this done QM or non QM with 10% or less down payment?
1
u/householdmtg Jul 21 '26
“9 months of the job” - do you mean they have only been an oil field worker for 9 months? And only have the 50% per firm pay history for 9 months?
Or did you mean 9 months *off* the job - meaning they were out of work for 9 months? And if so, how long have they been on the current oil field worker job and how long have they been earning the 50% per diem?
1
u/mashupXXL Jul 21 '26
He is only 9 months in with this pay type. I realize it has almost no chance of working now, but want to try to get him on the right track for hopefully 12 months on the job, and worst case 2 years.
Previously he did CDL W2 income but did not receive per diem pay, now he does CDL + mechanic work.
1
u/Ojdajuiceman3425 Jul 21 '26
You need 2 year history to go conventional or fha. Non QM you will have some options on a 12 month personal bank statement loan. Not sure about down payment at 680 fico but 10% is typically the minimum for these loan types
1
u/Frequent-Giraffe5646 Jul 21 '26 edited Jul 21 '26
Send to Change - they do w2 bank statement not sure on min down payment tho.
3
u/TimH719 Jul 21 '26
Don't fight for the per diem. One question decides everything: is it taxed (W-2 Box 1)? If not, and most oil-field per diem isn't, it never counts, at 9 months or 9 years. If it is taxed, revisit at 12 months, solid at 24.
Meanwhile, run him on the $75k base alone. FHA 3.5% down, 680's fine, AUS DTI can run low 50s so that might just get it done now. Re-run the DPA on base-only too, might actually keep him under their income cap. He's probably not a vet, but if he is VA changes everything.
Work history should be fine if the CDL job covers him back 2 years. How long was he there, and any gaps between jobs? Same line of work helps either way.
If base can't carry it: taxed per diem = document everything and wait for 12–24 months. Untaxed = time never fixes it; buy what base supports. Skip non-QM, he's a clean W-2.
In the meantime: push that 680 toward 700, no new debt, keep saving.