Mortgage with less than 2 years of work history

Anonymous · ‎01-28-2015

Hello!

I recently got my first job (2 months ago) after relocating to America and was thinking about buying a home. I found myself in a situation where all prime lenders demand 2 years of work history and won't even look at my current income and subprime lenders are eager to have me deal with them. Do I need to be penalized because I haven't been able to find the job that I wanted before? How exactly does that make me less credit worthy? (credit score is 750+).

Anonymous · ‎01-28-2015

The longer the history the better the picture. A mortgage loan is a big commitment for a bank to make. I would be no different if I was asked to loan money.

Anonymous · ‎01-28-2015

Sometimes you are able to get by with having a long history of being in the same field even if you only have 2 months of employment history. If this is your first job though, I don't think you'll have enough history in the field either.

When my wife got her first job and we wanted to get a house, Quicken Loans told us they needed 1 year after a first job. (We ended up waiting much longer than that so we never got to see if that was true or not.)

Anonymous · ‎01-28-2015

@Anonymous wrote:
Hello!

I recently got my first job (2 months ago) after relocating to America and was thinking about buying a home. I found myself in a situation where all prime lenders demand 2 years of work history and won't even look at my current income and subprime lenders are eager to have me deal with them. Do I need to be penalized because I haven't been able to find the job that I wanted before? How exactly does that make me less credit worthy? (credit score is 750+).

A good score isn't enough to prove to a lender of your ability to repay debt. Yes, 2 years of work history is what is needed to qualify for a mortgage.

StartingOver10 · ‎01-28-2015

@Anonymous wrote:
Hello!

I recently got my first job (2 months ago) after relocating to America and was thinking about buying a home. I found myself in a situation where all prime lenders demand 2 years of work history and won't even look at my current income and subprime lenders are eager to have me deal with them. Do I need to be penalized because I haven't been able to find the job that I wanted before? How exactly does that make me less credit worthy? (credit score is 750+).

OP, are you a US citizen or do you have a greencard? I ask this because there are other requirements that you have to meet if you are a foreign national. There are programs available for financing foreign national borrowers that generally include a much larger down payment. You may actually qualify for one of the foreign national programs now but you will need to speak to a lender that has these types of programs (not Quicken Loans or similar).