Qualifying Income means that you can prove you make enough money every year to qualify for the loan. If you are salaried, a lender will use your gross monthly salary to qualify you. Alimony and child support can be used to qualify, but you will have to prove that you actually receive the money regularly. Lenders may require more than just a court order showing you are entitled to receive it. Debt to Income ratios are used to determine qualification.
Acceptable ratios vary depending on the type of loan being applied for.
Your property is the security that the Lenders will use to back their investment in you. They demand that you repay the loan as per the agreement you will sign, but if you fail to pay, they will foreclose on the property and sell the house to make back their money. For this reason, they appraise the property to determine what it is worth and to establish its condition. You will need cash for the down payment , for closing costs , for reserves and for prepaid expenses. The money has to come from a source deemed acceptable to the lender.