I am currently in the market to purchase my first home. I have great credit and fairly low debt. I am also expecting to get hired at a new job w/in a month or 2 and will make 15%+ over what I make now. Would it be better to get pre-qualified for a mortgage now or should I wait? If I wait, will the lender frown on a short time at the new job?
2006-08-03 03:12:30 · 7 answers · asked by hinkle_e 1 in Business & Finance ➔ Personal Finance
Pre qualify now.
2006-08-03 03:17:16 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Great question:
If the job is in the same field of work. Engineer to Engineer than switching jobs is not a big deal. Make sure you have a year of employment or work expierence in the field. Also dont change jobs in the middle of the transaction. Pisses off the Lender and makes your closing longer.
With bigger percentage in Gross Income you can maybe qualify for more of a home yet make sure the possiblity of keeping the new job is a good outlook.
Since were here:
If you do get the new job dont get new credit cards because you need new suits or buisness cloths. Could kill your FICO score and your Debt to Income ratio. Killing your FICO by 1pt could be the difference of $50 bux a month in payments.
So get your pre-qualification letter and start shopping for a new home. Congratulations on the new job.
2006-08-03 11:14:13 · answer #2 · answered by Openthathouse.com 4 · 0⤊ 0⤋
It will be better to wait since continual employment is viewed as most important, with the salary of your current job being used in their calculations.
One of the things you could do to maximize the mortgage loan you would get approved for is to zero out or mimimize your current debt from credit cards or auto loans.
This debt counts heavily aginst you when calculating the amount of loan the bank will make. Even if you get a short term loan from parents or friends and pay them back a few months later the effort will pay off in better housing purchasing power.
2006-08-03 10:20:38 · answer #3 · answered by Carl 3 · 0⤊ 0⤋
Prequalify now on your current income. Start to research the market in your area, visit open houses, get an idea of what part of town? www.realtor.com is a great site to begin at, but certainly doesn't take the place of driving down a street.
Once you have started at your new job, you'll have a better idea of the commute, work hours, pay scale, etc...
Then contact a realtor and have them begin to pull listings for you to look at.
Don't put the cart before the horse, one big change at a time!
2006-08-03 10:28:36 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Hi there, personally, I would wait until I get the new job. Lenders look at how much you make more than how long you've been employed. And you are more than likely going to be able to get a bigger house than what you originally wanted. Good luck and I hope you find your dream house! =)
2006-08-03 10:18:38 · answer #5 · answered by aloneinga 5 · 0⤊ 0⤋
i think that mortgage companies like it when you have been at a job for over 6 mos. i may be wrong, but when someone tried to buy my grandmother's house, they had trouble with financing b/c they had just started a job.
2006-08-03 10:17:28 · answer #6 · answered by ksself 2 · 0⤊ 0⤋
Now would be great
2006-08-03 22:25:15 · answer #7 · answered by Terri L 2 · 0⤊ 0⤋