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do you need to be employed for a year before they give you a mortgage

by jamesrollins691 from Baxter, Minnesota. Sep 9th 2015 Reply


Jesse Stroup (jessestroup)
#4 ranked lender in Idaho - 593 contributions

Great question! The mortgage guidelines what to see employment history but they will not hold you two a one or two year work history to get a loan. That being said you will need to show your current employment and the underwriter will ask for a letter of explanation for the lack of work history. Maybe you have been going to school for the last four or six year for a tech job for example. We can use the school transcripts to show the path from school to work. Or maybe your were a stay at home parent and re entering to work force and have been on the job six months to a year. You have have to look at an FHA loan over a conventional for example. Working with the loan officer (Mortgage Professional) and showing all the history and paperwork will help on the path to loan approval. Jesse Stroup California Mortgage Professional www.CaliforniaHomeLoanLender.comNMLS# 6229

Sep 9th 2015
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Jason Bennett (jbennett)
#104 ranked lender in Pennsylvania - 70 contributions

Short answer again is NO...But your employment history for the past two years is examined and if you jumped from a similar job and little or no gap in employment to next job in similar field or occupation, assuming income similar or better...It will not present much of an issue. Self employment is looked at differently and generally want to be self employed for more then two years and show positive net income. If you are seeking to apply or want more information contact me anytime at: jabennett2@mtb.com (M&T Bank) located and licensed in most mid/northeastern states. Also affected by which loan program chosen, Generally FHA will be a little less restrictive.

Sep 9th 2015
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Mary Chris Gallo (MaryChrisGallo)
#48 ranked lender in Minnesota - 116 contributions

Good morning James! No. There are many loans we have to choose from. They each require a 2-year history of employment; but that doesn't mean that you can't have an employment "gap" during that time period. You could even still be in school during that 2 year period and they include your time as a student in you "work history." It sounds more confusing than it really is which is why you need to find a trusted professional to help you navigate the process and help you choose the direction that works best for you, your circumstances and your comfort level.

Sep 9th 2015
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,970 contributions

The answer is generally no, but it depends on a few factors. Are you self employed, commissioned, or receive tipped income? Then there are longer work requirements....

Sep 9th 2015
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Sara Deere (Mortgagequeen2)
#1 ranked lender in Missouri - 576 contributions

The answer to your question is no for a residential mortgage loan.

Sep 9th 2015
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William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,726 contributions

Not necessarily.. but to properly answer your question, we would need much more info.. There is an exception for folks who recently graduated and have taken a job in their field of study. So for example: You just graduated and received a 3 year degree from Devry with a major in computer engineering, and now you accepted a job with a company as a computer engineer, then your education is counted towards your 2 year work history requirement, and this scenario would be acceptable. If you have had other jobs, but you are just changing jobs, but remaining in the same field of work, then you should be ok as well. There are other scenarios which might be acceptable, but again, we need specifics.. For this reason, I suggest you contact a LOCAL mortgage broker and apply with them. Once they see your complete loan profile, they will be better equipped to advise you properly. Also, by applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with many lenders with each one offering a different type of lending program. This is unlike the local bank which typically only has a few lending programs. The more lenders, the more lending options, and the more likely your scenario will be accepted.. Plus, the broker is experienced in seeking out the best loan terms for your particular scenario, and he has lower overhead which typically results in lower rates and fees than most of the larger lenders.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347

Sep 9th 2015
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Tim Swierczek (TimSwierczek)
#24 ranked lender in Minnesota - 22 contributions

Hi James, the short answer is no. Type of employment and loan type do affect mortgage eligibility. The main issue would usually not be how long you have been employed, but rather how stable your income is. Salary and hourly income is considered more stable than commission or bonus income and so your income type usually matters more than length of employment.

Sep 9th 2015
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Steffnie Parsons (Steffnie)
#14 ranked lender in Oklahoma - 61 contributions

The answer is NO but you will need 2 years of employment history or school transcripts in lieu of employment history. You are trying to show the underwriter that you are financially responsible for paying your mortgage payment. I have helped people that do not have but 1 month on the job. Steffnie Parsons, People's Bank and Trust Co, 405-445-1091.

Sep 10th 2015
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Mark Hemingway (SFSLend)
#1 ranked lender in Colorado - 1,035 contributions

Typically you do not. But depends on your situation. If you are fresh out of college then you can use your college transcripts in conjunction with a new job to show a 2 year history. If you have job gap then lenders are understanding with what has happened with the economy and you could still be in good shape.

Sep 10th 2015
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