Did you just get offered a better job at another company? Changing jobs changes things if you’re in the middle of buying a home and you’ll want to talk to your lender before you accept that new promotion! When you’re buying a home lenders typically want several years of stable employment and income to approve you for a loan. If you decide to change jobs in the middle of your escrow you may actually ruin your deal and have to wait several years to buy again.
Be very careful and consider the pros and cons before you switch jobs. In this article we’ll really only discuss switching jobs while in escrow but in all reality if it’s your intention to purchase a home in the next couple years you may want to consider not making that move either. As previously mentioned when a lender looks at your loan application and reviews it for approval they’ll require several years on steady employment within the same industry, now it is possible to take a job at another company within the same line of work but please consult a lender before making any moves just to be safe.
Remember Changing Jobs Changes Things on Your Loan Application
As a general rule it’s a good idea to not make any major life changes while buying a house as the slightest item you think wont matter could cost you the transaction. Typically a escrow timeline which can be read more about here in our article Home Buying Process Timeline can be anywhere from 3 days to 90 days. Things like loan type and contract terms will also stipulate but in general the 3-90 day timeline will be fairly accurate. If you’re presented with a job opportunity that you just cant pass up during the home buying process, consider talking to your new employer about your situation. It’s possible if you’re only a couple of weeks out from closing on your home and the new employer really wants you that they will wait for you to close on your home before you start at your new job. Timing wise it might be a very easy move if you’re planning to give notice to your current employer but you really shouldn’t say anything till your home has closed. You don’t want to mess up your proof of employment if your lender sends over a verification form at the last-minute.
As you have read, changing jobs can definitely alter or even hinder your ability to buy the home you’re in escrow on. Proper planning and understanding how changing jobs changes things will help you make the best decision through your home buying journey.