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.
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.