I recently accepted an offer on an out of state condo. I was told that since I am not relocating for another year, the only thing I can do for my mortgage is to apply for it as an investment property. Everything was fine and dandy and all of my paperwork was completed. Now, it's in the underwriting process and I'm being questioned about my future employment. The lender wants proof of a new job in the new state but I specifically told them that I'm not moving down yet. My income will remain the same for at least another year. What is the likelihood that my mortgage will be denied? Why do they need proof of future employment if I'm going to remain the same for the next year or so?
Just tell them you are buying it as either a renter or Second home. Which ever the lender says you qualify for. Your loan officer did not do you any favors here. The LO job is to counsel you so you don’t waste your time or money on a loan that doesn’t work. Of course Investment Properties or Rental require much larger down payments and stricter UW standards. The interest rates and fees are also higher than an Owner Occuppied Home.