Transcription
You could actually earn $200,000 a year and still get denied for a mortgage. Why? Because your lender doesn't care what you make. They care what you can prove. And when you're self-employed, proving it isn't as simple as showing a W2.
I might Jeb use a word even different than proof. Uh, they care what you tell the government you make, not what your bank account shows, what your lifestyle shows, what you feel that you show. And that can be a problem for for business owners. My conversations with self-employed borrowers are the, um, more interesting, unique conversations. So, we always start with, "Awesome. So, you are self-employed. Um, what did you make last year?" And it's a loaded question, right? "What did I make?" So, you you phrase it as, "You could earn $200,000." A business owner certainly earns $200,000, could certainly earn $200,000. But for an underwriter's perspective, they're going to go to that tax return. They're going to analyze all of your expenses generating involved in generating that income and look at the net income. So, for the most part, we don't care what you earned. We care what you paid taxes on. And that is is the dilemma there.
Well, it's a double-edged sword, right? Because as self-employed business owners, you want to make as much money as you can, but you also want to pay taxes on the least amount of money that you can, which means a lot of times you're, you know, you're you're adding these write-offs. These write-offs are going on your tax return. So, in theory, sometimes you're still making more than that tax return shows, but at the end of the day, the underwriter doesn't care.
So, let's talk about why a lot of self-employed borrowers actually get denied. Josh, because the story is different for every single person. Like, you can't just take one self-employed borrower and what's happening there and just say that's the same for everyone else. Well, we used this example the the other week, Jeb. The the lender that you work with matters and it's you cannot tell. This is what's very hard. We talk to people all the time that ask questions. "What question should I be asking lenders? How do I tell who I should go with?" And we get frustrated as mortgage professionals. You're not a mortgage professional, but used to be. Um, as mortgage professors, we get frustrated that the only thing people look at is the interest rate, which can be manipulated, can be obfuscated, and all sorts of issues that make it difficult, but it's really the only tangible thing you have to look at. So, knowledge and skill in analyzing a tax return, in presenting you with your best face forward to an underwriter who's never going to meet you, never going to know you, and is only going to see a bundle of paper that tells your life story to them. That's where the difference comes.
And the best example I can give, we were at a party in November at a friend of of my wife and I's and he's a loan officer just like I am, a broker. So she is, uh, he is one of my wife's clients. And they were talking and he says, "Yeah, I I don't know how to analyze tax returns. Your husband does that, but I I I don't I don't have an interest in it. I just send it off to the underwriter and let them find out and tell me what the income is." And that's, you know, it's not even the worst because the worst is many of them will just refuse to look at it or will immediately push people to some of the other products that we're going to talk about, a bank statement loan, a P&L loan, other types of options because they look at it and they go, "Oh my god, I can't do this." So that that analysis and and honestly, it give it two to five years, probably less. AI is going to be able to analyze these tax returns for every dumb loan officer. So this should get better for you. But the reality is most loan officers have no idea how to analyze a tax return. Most underwriters want to analyze it the most conservative way possible. So unless you have an advocate on your side, a loan officer that knows what the hell they're doing, can analyze it properly and maximize your income and stress to the underwriter why that calculation meets the guidelines, you are likely to to come in light.
And you know, you said this, Jeb, we that people get denied or or self-employed borrowers get denied at a much higher rate than employed borrowers. That's part of the reason, but honestly, the big part of the reason is what you hinted on there at the top of the show, is that self-employed borrowers think in terms of cash flow, how much money they have to spend to support their lifestyle, and they don't think in terms of what am I telling the government, what's my net after all of my expenses?
Yeah. I mean, I hear you argue on the phone with underwriters all the time about how income is different, right? So, if you're relying on an underwriter to tell you how much income a borrower makes, often times you might be cutting the borrower short in many ways. And, um, and it's important to have that advocate on your side. So, let's talk, Josh, um, about calculating self-employed income, right? It is different depending on what type of self-employed borrower you are and and and maybe explain that to in a little bit more detail because not all are are created equal. Let's let's talk about the two primary types. The one is the easiest, simplest, a sole proprietor, and they file on a Schedule C. So, it's your normal personal tax return and on Schedule C, you can do basically a profit and loss for your business and declare, "Here's how much I generated, here's my expenses, here's my net," and that's the equivalent of, uh, someone else's W2 of what the government's going to say that's what you earned and that's what you should pay taxes on. So, 99 times out of 100, those people don't pay themselves through payroll. So, there's no W2s, there's no pay stubs, it's just that Schedule C. So, that's one.
Then we have folks with entities. What can the entity be? An S Corp is the most common. A C Corp is less common other than people that own fairly big companies. Um, uh, a partnership can be there and an LLC. And an LLC can be unique. You can have a single-member LLC and they can file on a Schedule C. So that's probably more common than almost any other LLC. It gives you some legal protections, but still keeps your situation really simple where you can file just on your 1040 with the Schedule C. But either way, there's a simple form that we go through, an Excel spreadsheet, and you go line by line and plug in what all of these things say. And so you are starting basically with the net income after all of the expenses and depending on the loan program, we can add back in certain expenses.
You say add back in expenses. Is if it's an expense and I'm saying it comes off of my income, I have to pay taxes on it. Why would we get to add it back in as qualifying income? Those are super simple. They're paper losses. On a conventional loan, um, if you have a Schedule C, you're a sole proprietor and you say, "I spend $15,000 a year on home office expense." Well, you you used a portion of your home as your office, you had to have the home regardless, so we can add that back in. FHA will not allow you to do that. Um, depreciation is the easy one. Depreciation is a paper loss. You don't write a check every month for depreciation or depletion. Depletion is pretty rare, very specific types of businesses. You don't write a check for that, but the government treats it as an expense against your income and and decreases your income. So, an underwriter really what they are trying to do is calculate based off of your tax return, what is the available cash flow that you have every month to make your payments. They can't look at the gross because the gross, cool, that's how much money comes in. But you might have cost of goods sold. You might have rent, employees, equipment, any number of things that have to be paid. So that eliminates the cash flow that you do not have available for your, uh, ability to repay your mortgage. So that's where they're trying to go.
So what we didn't talk about there is if you are an entity, then you're most likely going to provide your personal tax return and your business tax return. So 1120, 1120S, 1065, whatever your entity is, we're going to have to have that. And you analyze both of them. So this is the fun part. Many of those people who are an S Corp for myself, I don't, I didn't, I think you do the same, Jeb. You pay yourself a pay stub and a W2. So oftentimes we'll get self-employed people say, "Oh, I paid my I pay myself $120,000. I'll send over my pay stub and W2." Like, no one cares. That is just one line item on those tax returns. Because when I say no one cares, why don't they care? You're like, "No, it's a W2. It says I made $120,000." This may sound crazy, but I have seen borrowers send me over pay stubs and W2s that show that they get $120,000. And then we get the business tax return. The business lost $75,000 last year. So, did they have $120,000 to pay themselves? They did not. They really had $45,000 to pay themselves. So, those are the things that the underwriters are looking at. So, as a self-employed borrower, you're going to provide more documentation. If you pay yourself through payroll, we have to look at those pay stubs and W2s. Are you still paying yourself as much as you did last year? Are the W2s consistent from year to year? But then we have to look at the tax return because your payroll expense to yourself is just one item of those expenses that has to be analyzed in the cash flow analysis.
All right. Now, let's talk about declining income, um, during that whole period of time, right? So often time businesses sometimes they make more money than they did the previous year. I could be an example, right? Uh, some years are great in real estate, other years not so great. So my income fluctuates based on that. How does an underwriter look at income when it's variable, when it's not consistent?
Absolutely. Let's let's use a couple of hypotheticals. Maybe a couple of important things to talk about. Fanny May and Freddy Mac have, um, brought their guidelines together on self-employed borrowers over the last few years. It used to be that DU for Fanny May would dictate do we need one or two years of tax returns. And Freddy Mac had a different guideline that said if the business has been in existence for more than 5 years, we only have to analyze one year of tax returns. If it's been in business less than 5 years, then we need two years. Now Fanny and Freddy both look at it the same. So Jeb, you've had your corporation for 20 years, 15 years. So I'm only going to need, if we're doing a Fanny May, Freddy Mac loan, one year. If we're doing FHA, VA, USDA, you you cannot. It is the most recent year that you have filed. So, um, if you're doing FHA, VA, or USDA, then we're going to need two years regardless. Jumbo loans, some of them will follow Fanny, Freddy guidelines. Many of them are more stringent. They're going to want the two years. So, the only way that that really counts is if we're looking at your conventional Fanny, Freddy, and you've been in business for more than 5 years, we can look at one year.
So, if we have one year, we can't have declining income, right? We don't have anything to compare it to. But let's say that you've only been in business for four years and let's use a hypothetical realtor in 2021. So three years ago, because 2024 would be the most recent one. Um, but in in 2021, they had a great year. Rates are low. Market is ripping. They made $500,000. $500,000 with $100,000 of expenses. So they made $400,000. Well, the next year, market's not doing so good. It's $300,000 of income, $100,000 of expenses. They made $200,000. If we have to show those two years, we have to explain to the underwriter what the heck happened, what is likely to go forward for this business. So in that situation, it would be less alarming because we can look at it and most everyone knows that 2020 and 2021 were outlier years for real estate and mortgage professionals. So coming down to something more consistent with 2018, 2019 is not alarming. It just said, "Hey, they had a couple of great years. Let's look at the more reasonable year."
But what we'll often have is someone who has a business. They've had a business for forever. Let's say it's it's a VA loan. We need two years and they've had the business has been around for 20 years. And in 2023, the business brought in a million. They had $500,000 of expenses and $500,000 profit. Well, the next year, they had $600,000 of income, $500,000 expenses, $100,000 of profit. We need to have a really, really, really, really good explanation for what in the heck happened there because otherwise you're looking and saying, "This is a dying business. We don't know what is going with the income, what is going to happen with the income going forward." So then again, this is where we talk about it is important that you have a knowledgeable loan officer who is your advocate who can help in structuring this. Uh, again, my wife's a wholesale account executive and I hear her coming in after the fact all the time on her files and underwriters going, "I don't know what in the heck they're talking about. We got massive declining income. No one said anything." And so, an underwriter is going to think the worst. So, when we have that, we want to paint that picture up front. We want to put a cover letter in there. Now, in the the day and age where we don't have paper files anymore and everything is scanned and may or may not get imaged to the right section of the file, I'm going to call ahead of time. If I know I have one of these dicey files, they're pretty rare. One out of 10, one out of every 20. When that file gets submitted, we're going to call the account executive. We're going to find out who the underwriter is, and we're going to make sure we get an email out to them. "Hey, please contact me before you go through this. Here's our cover letter explaining what happened, explaining, you know, there was a flood in in the the fire at the warehouse and they were out of business for 5 months. That's why that big decrease in income. And we have a P&L and we can show bank statements for receipts for the six months of this year to show we're right back to where we were two years ago." There can be explanations for this stuff, but if you don't explain and document, an underwriter is going to look at it and go, "This this place is going out of business next year. They're going to be gone. We can't give them a loan."
Well, with that said, I mean, if you are going through the process, whether you're a wage earner or self-employed borrower, you need help through this process. You want that advocate that J keeps mentioning. There's a link in the description of the video where you can get in touch with Josh and the team. He can analyze the file, the income, help guide you in the right direction so there aren't any surprises at the end. Um, so now Josh, let's talk about 1099 versus W2. This is the way a lot of people hear, um, self-employed and they they classify themselves, if you will, as an employee, right? So W2, you're you're typically getting a paycheck every single week. It's usually consistent to some degree. Um, maybe you're on a salary, maybe you get paid hourly. Um, how does that differentiate between $1099 and then maybe talk about the idea of going from one to to the other, um, you know, people leaving a job becoming an Uber driver or vice versa or having both. I I think it's all important. So there's a million different ways this can go. But you use a really good example. Anything in the gig economy, Uber, DoorDash, any and all of that stuff, those places are going to give you a 1099. And that 1099, $1099 may say that they paid you $89,000 last year. We do not get to accept that that was $89,000 because that is an, uh, a statement for an independent contractor of what another entity paid you.
So, let's use an example of another type of business that's pretty common. I'm sure it's common everywhere, but for us in California, a lot of hairdressers come to us and some of these hairdressers make really, really good money. Well, if you go get your hair done and you do pay $1,200 for your hair, you get your hair did, you get extensions thrown in because you got to be at the club this weekend, you may pay $1,200, but you're not giving your hairdresser a $1099. She's just collecting all of this money. So, it is up to her or him at the end of the year to say, "Here's all of the the 800, 700, 300, $200 receipts I collected. This was my gross income. Here's my expenses." But if you drove for Uber, they're a big company and they're going to say, "Hey, we paid you this." Because this is what they get to go to the government and say, "Hey, we collected all this, but here's all of our contractors that we paid all of this money." So that's the difference. But we know that both of those businesses are the same. One person collected all the money in cash. One collected it from one entity that paid them every month, but with no withholdings. No withholdings for taxes, no withholdings for social security. And there were expenses with both of those businesses. So, if you have not incorporated, that $1099 may go to your your Schedule C and you're going to have expenses there. So, sometimes we'll have that confusion. Someone will say, "No, I made $89,000 last year. Here's my $1099." Okay, cool. Send over the tax return. And strangely, I have had people that just say, "I don't really have any expenses." So, my Schedule C shows $89,000 and no expenses. It's uncommon, but that does happen.
Because, um, probably an example, we had a listener to the show. She was out in Vegas last year. Uh, she's still in Vegas, but she's out in Vegas and wanted to buy a house, but she had switched. She was on a job as a W2 employee, and the the company she worked for had a bigger company that hired them to do this job. After two years, that company came to her and said, "We want you to come do the job for us. We're going to pay you more, but we're going to pay you by $1099." So that direction, Jeb, going from W2 to $1099 as an employee to an independent contractor and even without the $1099, let's say, um, a hairdresser that works at Supercuts and they get a pay stub and a W2 because they're paid hourly and then they go out and they open up their own barber shop. Either way, that change is difficult. We have to have at a minimum at least one full year on that tax return before an underwriter is going to accept that because they need to see what expenses are involved in generating that income. So, those are the things that we're looking at. Do we have that history?
Um, I've had a couple here very recently, another listener. So, the the listener that we just closed recently and that lady out in Vegas, she had only six months on her tax return. The VA guidelines, she was a veteran. The VA guidelines are really vague and open and we found many lenders who told us, "Nope, that doesn't meet the guidelines." We found one lender who said, "Okay." And, and it we had to really extensively document it. In her situation, she got the same amount every month. It was like $12,000 every month. She had a contract. She had received that amount every month. She had a very good explanation as to why she had very minimal expenses. And we used a very conservative calculation for her income, but we got it done. Have another borrower here that we just closed a refinance for last month. He bought six months ago using a bank statement loan because he was a financial planner and he worked for a firm that paid him W2. And he said, "This is crazy. I have a lot of expenses that you guys don't reimburse me for and as a W2 employee, I can't write them off. Will you switch me over to $1099 as a contractor?" And they did. And we had 11 months on the tax return last year. It's in a little gray area because most of the guidelines say at a minimum of 12 months. They prefer two years, but a minimum of 12 months. We were able again to find an underwriter who understood, looked at it, saw it our way, took that 11 months, averaged it over 12 months, decreased his income a little bit, and got it done. So these guidelines are guidelines. They are hard and fast rules, but there's room for interpretation within there. And this is one of the areas where it does pay to work with a broker because I have 70 different investors that we can go to. Now, all those investors don't do all of the loan programs, but your normal Fanny, Freddy, FHA, VA, we've got at least 50 options, and all we need is one to say yes. If you go to your local bank, if that lady in Vegas had gone to her local bank that does VA loans, said, "I'm a veteran. I'd like this." They'd say, "Hey, hit the door. You got nothing." And they don't have anywhere else to go with it. It's just the nature of their business model. So, if you, uh, are an 800 credit score, $200,000 a year W2 employee with a 22% debt to income ratio, by all means, you can walk into your bank, your credit union, anywhere, and no one can screw up that loan. I feel pretty strongly this is an area where brokers absolutely excel and you are in much better hands as a self-employed person going to a broker because we have all of these different options. We haven't even gotten to the options outside of actually qualifying with the tax return.
Well, let's do that. Um, you mentioned bank statement loan, Josh. So, if you can't qualify on taxes, um, there are some alternative options, non-QM type stuff. Um, the the primary one that we hear a lot about is a bank statement loan. Um, so what is a bank statement loan? How does it work? What do they look at? What's the difference? All that good.
So, they're looking at generally business, um, bank statements, but they'll look at personal bank statements also, but business bank statements for the last 12 or 24 months. It used to be the longer you could document, the better terms you get. Most lenders don't really want to analyze 24 months of tech of bank statements. So, 12 months of bank statements, average the deposits, and then apply an expense factor because again, they know that very few businesses have no expenses. So, if we don't tell them different, most of them want to use a 50% expense factor. So, if your business, if you have $20,000 a month of deposits, $240,000 at the end of the year of of average deposits, total deposits for that 12 months, they're going to say $120,000. But if we can go to them and say, "This is the type of business that we're running. Here's what our expenses look like." And if it's common for that industry, and they can say, like our lady in Vegas, if she were trying to do a bank, she says, "I have a home office. I have a laptop. It cost me $2,000 when I bought it and I have my cell phone. My expenses are about $300 a month." If we can document that and especially if we can get a CPA to say, "Hey, this is true. I've done this person's tax returns. They have a very low expense ratio." We can use a lower figure. But that's what it's looking like. 12 or 24 months of business bank statements averaging the deposits.
So, you're like, "Well, that sounds awesome because I made a million dollars last year, grossed a million dollars, and netted a hundred thousand. So, I don't qualify for what I want. Let's do a bank statement." So, what's the downside to it? You're generally looking at needing to make a bigger down payment, probably starting at 10%, but if you want to get good terms, 20% or more. And then the secondary piece of that, you're going to pay a premium interest rate. The higher your credit score and the bigger your down payment is or in a refinance, the lower your loan to value ratio is, the closer it's going to get to Fanny May, Freddy Mac terms, but you're going to pay some sort of a premium because it's a riskier loan, not as liquid, doesn't get sold in the same pools as Fanny May, Freddy Mac loans.
All right. So now let's talk about, uh, credit scores, down payment, DTI, right? So those are the big things when it comes to typically buying a home. Um, you know, we we know with Fanny and Freddy, you can get away with 3% down, 5% down, FHA 3 and a half% down, VA zero. Does that change if you're self-employed? Um, and then what does it look like with with with credit score? Does it change on any of the the the primary programs or is it just when you get to non-QM?
With all of the government and agency loans, nothing changes. Same minimum credit scores, same loan level price adjustment, same max debt to income ratio. It just comes down to how did we analyze your tax returns, pay stubs, W2s, all of your self-employment income, and what did we come up with as a debt to income ratio. Now, the the non-QM stuff, the bank statement, and we didn't really talk about, there's some, there's some other options. Lenders are getting more aggressive. You can do a P&L only loan with some lenders. Um, we can do three months bank statements with some lenders. The less you document or the easier it is for you to qualify, the worse those terms are going to be. And not because the lender's trying to take advantage of you, it's because there's more risk to them. So, okay, cool. Pay us enough and we will allow you to do that. But any and all of those options, the lower the the loan to value, so the more equity in the property and the higher your credit score, the closer you're going to get to the terms. So, you could be, if you try to do a 10% down with a 650 credit score, you may find a lender that will do it. Let's say 680, probably more likely to be able to find it on a bank statement loan, you're going to pay a couple percent premium to the market. That same borrower with 30% down and an 850 credit score might pay a half percent, uh, premium to the market. So, just depending on who you are and where you're at, it may just be simpler. Some borrowers literally go, "I don't want to give you all that documentation." I had a borrower six or eight months ago, um, that was wanting to refinance. He had eight businesses and he's like, "Okay, it's a half percent difference for me. No way. Just here's 12 months bank statements. Let's do that."
No, it makes sense. Um, so if I were somebody right now thinking about going through the process, maybe I'm not even quite ready yet, Josh. I just want to see what the lender is looking at for my income so that when I'm ready to pull the trigger, I know what I can afford. Um, or maybe I haven't filed my taxes yet for this year and I've been in business for more than 20 years and I just, you know, I need only need one year of tax return like you mentioned. I need to know what I need to put on that tax return so that I can actually qualify for a home.
Good conversation to have if you're in that position. What does the documentation look like? Let's so let's kind of underscore what you just said. We are now in May, so tax day was over a month ago. The best time if you're looking to buy or borrow, so refinance, um, is to have that conversation early in the year before you do your tax return so we can look backwards in time and say, "If it looks similar to this, here's where you're at. Is that good?" And if you go, "No, that's not good." Say, "Okay, here's what you could do." Not lie. We're not going to lie and say, "I made a million dollars and pay extra taxes." We're going to say, "Do we need to declare all of these expenses?" The law allows you to deduct all of your expenses. It does not require you to deduct all of your expenses. So, there's some some wiggle room in there if we look at that early in the year.
So, the documentation that you need to have that conversation, um, I would plan on starting with two years of tax returns. It's sort of like, "Kill them all, let God sort them out." Let's get all of the documentation on the table and then we'll whittle it down to what we actually need. So the most two recent two years tax returns, absolutely personal. Um, so whether you you are are an entity like an S Corp, you would need the the business return and the personal, but if you are a sole proprietorship, you'll need the personal. So everyone needs to provide personal. If you are an entity, you will need to provide the 1120, 1120S, 1065, whatever the business tax return is. If you pay yourself pay stubs and W2s, that same two-year period, two years of W2s, 30 days of pay stubs, and then from there, uh, if we're looking at a bank statement loan, 12 to 24 months of business bank statements. If we're trying to squeeze you in on a normal loan, it's just your normal, um, uh, bank statements. So, one month, two months depending on Fanny, Freddy, FHA, VA. So, it the planning really comes in around the income piece. So, what you should be prepared to do is get two years of tax returns, business and personal W2s for those same two years if you pay yourself through payroll, 30 days of pay stubs, and start from there. And we can really do the planning of letting you know here's what qualifying income looks like, not what you think you have in terms of walking around money every month, and does that get you where you need to be with current terms.
All right, good. Um, so let's just maybe wrap this up with, uh, talking about loans and and how income and the number of years on the job differentiates what type of loan you might get in this situation. So not all self-employed borrowers, like you kind of mentioned earlier, are going to be able to use, uh, one year versus two years, and that's going to dictate the the type of loan that you actually qualify for. So maybe just a quick breakdown of what that looks like in the different loan programs and what's required.
So, just remembering that FHA, VA, USDA are always going to require two years. So, if you started the business three years ago, the first year you made $8, the next year you made $20,000, the next year you made $120,000, it's going to be averaged. So, great, we have an ascending trend. That's positive. They can see the business is growing, but we're still going to average it and it's going to give you much less credit. Um, that was probably a bad example, starting the business three years ago, because in that situation, conventional would also require two years of tax returns. But let's say that business has existed for more than 5 years. Often times we don't have a choice. We have to go that route even though the other loan might be better because we need that $120,000 from the one-year most recent tax return. So really that's the only thing here that's going to dictate or push us in one direction or another. Um, I guess I shouldn't say the only thing. Again, we have a little bit more flexibility under conventional guidelines with the one year of of tax return income of someone going from an employee to self-employed, but we've got wiggle room on on all of those. There's not really any hard and fast rules. We get into, um, some more gray areas. I shouldn't say there aren't any hard and fast rules. You you you generally need to have at least one year of self-employment, if not one full tax year of self-employment. But don't ever, like what I get a lot of times, Jeb, is people tell me, "I've watched a bunch of videos. I know the guidelines." And they quote me the guidelines verbatim. They go, "So I know I can't do this." I go, "No, the guidelines say you can't do that, but it's a gray area." And often times we can get gray loans approved. So that's the important part. Do your homework. If you're listening to this, you're one of those people. You've gone through that. But check with a professional that knows this, that does it all day, every day, who has access to those non-QM loans. If you walk into Bank of America or Chase and talk to their loan officer, um, they don't offer these loan programs. So, they wouldn't even give you that option. They would just look at and say, "Hey, you don't qualify." So, you want someone that has the full spectrum, knows income, knows qualifying guidelines, knows underwriting guidelines, and again, can be your advocate to make sure you're able to get the best loan at the best terms that you are eligible for with your income situation.
So, if you walk away from this episode with anything, just remember that just because you're self-employed doesn't mean you can't get a mortgage. It just means you need a plan. You need the right loan officer. You need that advocate on your side like we've mentioned before. So, if you think you're ready, you want somebody to analyze your tax returns, you want somebody to get you pre-approved, have that strategy call, there's a link in the description of the video. Make sure you reach out. And if you found any value, make sure you share this. Share this with your friends, anybody you know looking to buy a home. Like and subscribe, whatever platform you're on. Until next time, guys. Make sure you buy right, you borrow smart, you build wealth. Adios. Amigos.