Schedule E Non-Subject Property Calculator

Calculate monthly qualifying income from rental real estate reported on IRS Schedule E (Form 1040) for non-subject properties. Includes monthly payment subtraction from credit report.

Upload Schedule E

Upload IRS Schedule E pages to auto-fill fields. Upload one per tax year (max 2).

Upload Schedule E Drop or click to upload a Schedule E image or PDF
Schedule E Non-Subject Property Policy

Only add lines 9 & 16 (insurance and taxes) if the borrower needs them to qualify. If added back, a Mortgage Statement or Lender's Activity Statement will be required to verify payment includes PITI.

Rental Property Income

Enter line items from Schedule E for the non-subject property. Positive values are added; Total Expenses is subtracted.

Description Line # Sign Year 1 (Most Recent) Year 2 (Prior)
Rents Received 3 +
Royalties Received 4 +
Amortization / Casualty Loss 19 +
Total Expenses (SUBTRACT) 20 −
Depreciation 18 +
Insurance (if PITI) 9 +
Mortgage Interest 12 +
Taxes (if PITI) 16 +

Results

Monthly Qualifying Income (Net of Payment)
$0.00
Schedule E Non-Subject Property Guidelines

Rental income from non-subject properties reported on Schedule E is calculated by adding rents received, royalties, depreciation, amortization/casualty loss, and conditionally insurance, mortgage interest, and taxes (if PITI), then subtracting total expenses. Standard averaging applies when two years are available and Year 1 exceeds Year 2. The monthly payment from the credit report is subtracted from the monthly average. A positive result adds to qualifying income; a negative result is treated as a monthly liability.