Home Loan With Job Offer Letter

Gustan Cho Associates

Qualiying For Home Loan With Job Offer Letter

Can I Qualify For Home Loan With Job Offer Letter? There are certain rules and regulations in qualifying for a home loan with job offer letter.  Every mortgage company has their own lender overlays when it comes to a job offer letter.  Mortgage lenders with no overlays, such as myself, can start processing a mortgage loan application with a job offer letter but cannot close until we have at least one month’s worth of paycheck stubs as well as a written verification of employment by the employer who offered the job offer letter.

Employment History Requirements When Applying For Home Loan With Job Offer Letter

Both HUD, Fannie Mae, and Freddie Mac have mandatory employment history requirements for mortgage loan borrowers.  A two year employment history is required in order to qualify for a mortgage loan.  Most mortgage lenders require two years employment history with the same company, however, this is not a federal mortgage lending guideline.  You can have multiple jobs in the past two years and you can also have gaps in employment.  You can also have an extended gap in employment and still qualify for a mortgage loan.

Gaps In Employment

As mentioned on the previous paragraph, mortgage loan borrowers can qualify for a mortgage loan with gaps in employment.  If you have had a six month or less in gap in employment, you can qualify for a mortgage loan if you got a new full time job but need at least 30 days paycheck stubs in order to close on your home loan.  If you have been unemployed or out of work for six or more months, then you need to have a six month seasoning with your current new full time employer in order to qualify for a mortgage loan.

Part Time To Full Time Employment

If you have a job that you have been working part time for many years and got full time status or have gotten a promotion, your new full time income will be used and your part time and full time income over the past two years will not be averaged.  Part time jobs are considered as part of employment history and will qualify for the 2 year employment history requirement.

What If I Do Not Have Two Year Employment History?

To qualify for a mortgage loan, you need a two year employment history.  The two year employment history does not necessarily have to be a continuous employment history and gaps in employment is allowed.  The exception to this rule is if the mortgage loan borrower has been enrolled full time at either a technical school and/or college or university.  Trade school transcripts and college and/or university transcripts can be used in lieu of the mandatory 2 year employment history requirements.

College Graduates And Qualifying For Home Loan With Job Offer Letter

Many college students who will be graduating from college often get Job Offer Letter where once they graduate, they can start work.  College students with a job offer letter can qualify for a mortgage loan with a job offer letter but cannot close on their home loan until they have 30 days of paycheck stubs from their new employer.  They do not need two year work history because the time being a full time college student will qualify them in lieu of being on the work force.

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The information contained on Gustan Cho Associates website is for informational purposes only and is not an advertisement for products offered by The Gustan Cho Team @ Gustan Cho Associates or its affiliates. The views and opinions expressed herein are those of the author and/or guest writers of Gustan Cho Associates Mortgage & Real Estate Information Resource Center website and do not reflect the policy of Gustan Cho Associates Lenders Network, its officers, subsidiaries, parent, or affiliates.

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