If you are hoping to buy a house but have recently changed jobs it could throw a wrench into your plans. “Could”, however, doesn’t necessarily mean it will. Only that you can’t assume everything will be fine. Below we’ll explain the process of getting a mortgage with a new job.
Is Getting a Mortgage With a New Job Possible?
The short answer is “yes”. But it’s also possible you may be turned down. You see, the lender is mostly concerned that you demonstrate stability before they will lend you hundreds of thousands of pounds. Ideally, they want to see that you have been working in the same field for at least 2 years with a consistent salary. If you have been working for less than that you will likely need to supply some further proof that your position and salary is secure.
What if I Have Worked Consistently But Recently Changed Jobs?
Lenders crave predictability, so if you recently changed jobs it might raise a red flag with them. It doesn’t mean they won’t lend to you, but again, you may have to jump through some extra hoops. Changing to a lower-paying job or to a less stable industry may torpedo your chances of getting a mortgage. But if you change from one firm to another in the same industry with essentially the same or a better salary, it shouldn’t be a problem.
What if I Get Paid a Commission?
With some positions, a large portion of the annual salary may come in the form of commissions or performance bonuses. This is not usually something lenders are very happy about. Again, they want predictability, and commissions and bonuses can be devilishly unpredictable. The only way it might work for you is if you can somehow prove that your commission or bonus income will be fairly stable. Easier said than done.
Talk it Over with Mortigo
If you’re interested in getting a mortgage with a new job the smart thing to do is to drop by Mortigo and discuss the matter with one of our loan experts. They’ll provide the information you need to make an informed decision.