Thursday, September 20, 2012

You Don’t Need to Worry About Switching Jobs and Losing Your Chances of Buying a House

There are many people who want to try something new. That’s why there are those who change careers. There are different reasons for this. Some want to take advantage of better pay while others simply want to try a new experience.

There is nothing as exciting as starting your first day in your new job. There are so many things to learn and new people to meet. But for someone who is planning on buying a house, changing careers may not be the best idea because this will affect their eligibility for home loans.

This is because being in a new job would put you under probation, the period where the employer reviews your performance for a certain period. After the probationary period, the employer decides to either hire or fire you depending on how you did.

This can hurt your chances of getting a loan because lenders will consider you a high-risk borrower—someone who is most likely to default on the loan.

Why would they think that?

It’s because in the short period of time you are employed in a certain company, there is no assurance that you will stay long enough to earn the money to repay the loan. Even if you have a high salary, the fact that your tenure is for a limited time only worries lenders.

Your probationary status will make it hard for lenders to believe you’re going to repay the loan. There is always a risk of being terminated. And when that happens, there is no way you would be able to keep up with the monthly mortgage repayments unless you have a lot of money on standby.

The trial period people in a new job have to go through is something that can greatly affect their chances of getting a loan from a conventional lender. But the good news is there are several lenders who are starting to consider giving these people a chance through different types of mortgages. A good example would be a changing careers home loan.

From the term itself, it is a loan for people who have changed careers. This is one of the different probation mortgages lenders are making available to certain individuals. These are great because these allow people who are still new to a job to have the chance to buy their own house.

Knowing that not all lenders are going to turn their heads from you is a great thing. It means so much that there are some who are willing to take a chance in you and give you the opportunity to make your dreams of homeownership come true.

The question now is “how hard is it to qualify for this loan and how much can we borrow?”

It is possible to borrow as much as 90% of the loan-to-value ratio. This is if you are in a very good financial status and if you have a really good mortgage broker who can negotiate the best deals with lenders.

It’s not that hard to qualify as long as you can meet the requirements. Some of the requirements are the following:

-          Your probationary period is not longer than 12 months
-          You have extensive experience (if you are transferring to another department or changing companies)
-          Your previous job is in the same industry as the one you currently have

You don’t even have to worry about not being under probation for a long time because there are lenders who will lend you money even if you are only a few days in your new job. That is if you can ask your employer to provide an early review of your performance and gauge your chances of getting hired full-time.

Your best chance of qualifying for this type of probation loan is to have a really good mortgage broker. A broker will help you learn more about changing careershome loan as well as other types of probationary loan. Their expertise and experience will greatly benefit you. Plus, it is very probable that they know a lot of lenders. The more lenders your broker knows, the better chances for approval you will have.

So if you are desperate to leave your current job and want to try out something new, don’t be inhibited by your fears of not qualifying for a home loan. With changing careers home loan there is nothing to be scared of. Get more info on changingcareers home loan by visiting different websites.

Tuesday, July 31, 2012

Learn How Changing Careers Mortgage Can Help You Get a House

If you are thinking about changing careers mortgage application should be the least of your worries because there are options for people who want to buy a house but have just started out in their new jobs.

What does changing careers have to do with buying a house?

Switching careers has a huge impact on one’s ability to borrow money from lenders. Conventionally, this could be something difficult to accomplish because someone who has just begun in a job would be considered as high-risk borrowers by most lenders.

This is because lenders do not want to lend money to someone who cannot assure that the loan can be repaid. For those who just got into a company, there is no assurance of this because these people are most likely to be put under probation. That means the individual will be on sort of temporary employment status and will be carefully watched over to see if he or she has what it takes to become a permanent employee. This probationary period typically lasts between 3 and 6 months. There are companies that have longer probationary period. During this stage, the employer can terminate any person if he or she is not cut out for the job. At the same time, employees can use this time to think if the current job they have is the one they want to spend most of their years in.

Because there is a risk of termination, this means an individual may not be assured of a steady income. This is what lenders want to avoid. They do not want to lose money by awarding loans to people who may not be able to repay them.

Fortunately, however, there are different options for people who have just started in their new jobs. It does not matter whether it’s their first job or they transferred from another company or switched careers. There are lenders today that offer mortgage while on probation and home loans for those who have switched jobs.

There is a huge availability of mortgage for changing careers. If you are one of the many people who have made the decision to change jobs, you do not have to worry about not getting approved for a home loan. All you need to do is find the right lender.

One thing you have to assure these lenders is that you will be staying in your new job for a long time. Obviously, you need to be employed for the years to come to have the money for monthly repayments. If you are not planning (and can guarantee lenders) to stay for good, then there could be some problems.

What mortgages for switching careers do is to make it easier for you to qualify for loans. This is like helping you get a foot on the door. Lenders that offer these mortgage products will use different methods in processing loan applications and ensuring your ability to repay the loan.

You can take advantage of changing careers mortgage better by working with a good mortgage broker. It is, as a matter of fact, better to look for a mortgage broker because they will be able to make the while thing easier for you.

Sunday, June 3, 2012

Get Home Loans Even If You Are Pregnant or About to Return from Maternity Leave

Having a child is probably life’s biggest blessing. For a lot of people who are blessed to have a kid, this could be the best experience of their lives. However, for some people, especially working moms, getting pregnant would mean taking some time off from work to give birth and take care of the kid.

And some women won’t be able to help but think of this without worrying about how their salaries are going to be affected.

There are some pregnant women whose plan to acquire a home for their families were thwarted simply because they can’t get approved for loans due to their condition. Those who are about to return from maternity leave would also have to worry about not getting their mortgage application approved.

There have been cases where pregnant women’s mortgage applications were rejected by lenders simply because they are worried that these women would not be able to pay for the loans.

This is not good and could even be called a little discriminating, but some lenders still practice this. If you are currently pregnant or about to return from maternity leave, then you should know what your rights are when it comes to trying to get home loans.

·         Your mortgage application should never be denied based solely on your pregnant status. The U.S. Department of Housing and Urban Development has said that.
·         If your husband is also working, then there should not be a problem because banks can ask you to buy a house where the mortgage is paid from the other salary.
·         The bank can verify your financial status before the loan closes. It can call your employer to check your employment status.
·         Submitting a letter from your doctor and employer that indicates the return date for work should be enough to help get your loan approved.

What does all this mean?

It means pregnant women and those who have just given birth must not be denied from getting a mortgage simply because of their situation.

There are different loan types that can even help make the process easier and more convenient for these people. Loans like a graduated home loan, which is designed to help people who are just entering the workforce, are going to make it possible for individuals who still do not have the financial capability to pay off a house to slowly buy a house that they can call their own.

Pregnant women and those who are about to return from maternity leave can enjoy similar benefits.

You can talk to any lender who specialize in these types of loans and get help. You will be able to start working on getting your home ready so you can prepare to build a family.

You just need to prove to lenders that you are returning to the same job and offer documents as proof, like birth certificate. In case you are still on maternity leave, you can acquire a letter from your employer stating the date of your return to work. That should do the trick.

If you want to increase your chances of getting your mortgage loan approved, then you should look for a mortgage broker. A broker can connect you with the right lender and even help you make the necessary arrangements to ensure your application gets approved as quickly and conveniently as possible.