Author Topic: Moving, New Job, How To Get a Mortgage?  (Read 888 times)

Malum Prohibitum

  • Pencil Stache
  • ****
  • Posts: 679
Moving, New Job, How To Get a Mortgage?
« on: October 24, 2018, 05:05:53 AM »
Okay, so self employed, but looking to take a job across the country.

It seems to me that persons move and take a new job and buy a new home all the time.  Does the mortgage company declare that, "Oh, new job, too unstable, come back again in two or three years?"

How does one go about doing this properly.

I am self employed now and own an home.  Does this change anything?

I would be selling the home, moving, and hopefully buying a new home in the new location where the new job is located.

Since I have been in the same location for decades and have never bought or sold a home other than the one I occupy, I have no clue how one does this and see all the warnings about underwriters wanting to see two or three years in a job . . .  obviously that can't be the case, since I hear about persons moving for a new job opportunity and buying homes.

Anybody have any insights?

Linea_Norway

  • Walrus Stache
  • *******
  • Posts: 5302
  • Location: Norway
Re: Moving, New Job, How To Get a Mortgage?
« Reply #1 on: October 24, 2018, 05:38:25 AM »
From when I moved to another country, I learned that banks are interested in your:
- Personal number/tax number
- Last year's tax report
- Credit history
- Working contract and/or first payroll printout.

I don't think they presume that your job is unstable, as long as your have a contract without a specified end date.

thd7t

  • Handlebar Stache
  • *****
  • Posts: 1308
Re: Moving, New Job, How To Get a Mortgage?
« Reply #2 on: October 24, 2018, 10:31:26 AM »
Is your new job in the field where you were employed before?  When I got a mortgage, I had been at a job for about 6 months, but the bank was most interested in how long I had been in the field (which was substantial).  I think your self employment would be fine, particularly if you're becoming a w2 employee.

nereo

  • Senior Mustachian
  • ********
  • Posts: 10606
  • Location: Just south of Canada
    • Here's how you can support science today:
Re: Moving, New Job, How To Get a Mortgage?
« Reply #3 on: October 24, 2018, 10:37:43 AM »
It's been years since I've had any sort of job stability, and getting a mortgage has never been a problem.

As long as you have a consistent job history (i.e. no years with little/no income) it shouldn't matter much.  I agree with Linda - your credit score, last year's (or last few year's) tax report and current salary (e.g. paystub) is what they want most.  Being able to put money down for a down-payment also mitigate's the bank's risk.

Malum Prohibitum

  • Pencil Stache
  • ****
  • Posts: 679
Re: Moving, New Job, How To Get a Mortgage?
« Reply #4 on: October 24, 2018, 11:37:06 AM »
Is your new job in the field where you were employed before?
  Yep, two decades.

frugaliknowit

  • Handlebar Stache
  • *****
  • Posts: 1662
Re: Moving, New Job, How To Get a Mortgage?
« Reply #5 on: October 24, 2018, 11:45:03 AM »
Probably best to run your scenario by a trusted mortgage expert.

In general, I believe, assuming a conventional mortgage:  If you are not changing fields, a job change means ZERO (in other words, it's as if you are working continuously and is not considered sub-prime in any regard).   A very long time ago, I switched jobs in the middle of a real estate transaction.  All I had to do was give the lender a copy of my offer letter at the new job. 

In your case, however, you would be going from self-employed to employed.  I'm not sure how that would be viewed (continuous?). 

You definitely will at least need an offer letter, paystub or some other proof that you have the new job (and what it pays) before  applying for a mortgage.

kpd905

  • Handlebar Stache
  • *****
  • Posts: 1723
Re: Moving, New Job, How To Get a Mortgage?
« Reply #6 on: October 24, 2018, 11:54:15 AM »
Do you know for certain that you will live in this new location long term?  If not, why not rent for a year first?

Malum Prohibitum

  • Pencil Stache
  • ****
  • Posts: 679
Re: Moving, New Job, How To Get a Mortgage?
« Reply #7 on: October 24, 2018, 12:30:26 PM »
Do you know for certain that you will live in this new location long term?  If not, why not rent for a year first?
Yes  - I have wanted to move there for decades, and now I am finally doing it.

ETBen

  • Bristles
  • ***
  • Posts: 405
    • I started a journal about single parenting and the new life towards FIRE
Re: Moving, New Job, How To Get a Mortgage?
« Reply #8 on: October 24, 2018, 08:29:53 PM »
I did this after my divorce. Although less distance moving. It wasn’t an issue at all. I showed consistent income, same field, had the confirmation letter from new job, down payment.

Radagast

  • Handlebar Stache
  • *****
  • Posts: 1520
  • Location: West of the Mountains, East of the Sea
  • One does not simply work into Mordor
Re: Moving, New Job, How To Get a Mortgage?
« Reply #9 on: October 24, 2018, 08:50:47 PM »
I got a mortgage two months after getting a new job, with an employment history of 2 years 8 months. I qualified for the lowest rate and hassle. Sooo... unless you are stretching for a mansion that will eat up 40% of your projected income I think you will be fine.

Mrs.Piano

  • 5 O'Clock Shadow
  • *
  • Posts: 57
Re: Moving, New Job, How To Get a Mortgage?
« Reply #10 on: October 25, 2018, 06:56:51 AM »
Congratulations on achieving your dream!