Getting a Mortgage with a New Job

It might seem like a lot to take on to get a mortgage while starting a new job. However, it turns out simpler if you have the right information. Our comprehensive guide will tell you everything you need to know about how your new job may affect your chances of getting a mortgage and what it takes to go through the application process with ease.

If you have any questions, please contact us through WhatsApp and call our advisors, who would be more than happy to assist. Importantly, we do not charge anything for our services.

How Long Do You Have to Be in a Job to Get a Mortgage?

A common question asked while getting a mortgage is, “How long should I have been in my job to qualify?” Usually, mortgage lenders like evidence that an individual has remained in the same role for at least 6 months before the mortgage application process. This period allows for gathering enough payslips that would serve as proof of regular income.

Nevertheless, it’s not as if rules are written in stone. Certain mortgage lenders could have some flexibility, especially when someone is relocating within the same industry or moving upward into another position. Essential requirements for medical and teaching professions can also be relaxed since these jobs are very stable.

To sum up, do not let six months put you off. It is always worth speaking to a mortgage broker who will point you towards a mortgage lender who understands your employment history.

How New Employment Affects Mortgage Applications

You’re probably eager to start your new job—and who can blame you? Getting a pay rise is never a bad thing, either. That said, we know that even though you’re feeling the excitement, you might also have some “career change jitters.” Everyone gets them, but don’t worry: things will work out great.

If you’re also looking for a mortgage, you’ve got another reason to celebrate! A new home is exciting to look forward to. However (you could probably feel the “but” coming), we need to discuss how your new job might impact your mortgage chances. Most lenders like to see applicants with job stability before they give their approval. So, while we encourage you to start planning for your dream home today, beware that applying for a mortgage too soon could put a major dent in your chances of securing one.

We know it’s annoying; trust us. But lenders want what they want, and sometimes, you just have to follow the rules. The good news is that as a whole-of-market mortgage broker, we have access to over 90 mortgage providers, and our aim is to find one that is happy with your scenario and offers the lowest monthly mortgage repayments.

The Impact of Job Stability and Income

Don’t panic, but every little detail counts when getting approved for a mortgage loan. Mortgage lenders will comb through everything with a fine-toothed comb, including your employment history and pay stubs. They prefer applicants who have proven they can stay in one place long-term because this shows them that the borrower has shown consistent income over time, which is ideal for making timely repayments on their loan each month.

This doesn’t mean that starting a new job makes things impossible. It simply means that lenders appreciate stability more than anything else. If given a choice between two applicants with similar profiles, they would prefer the one who’s been at their current job for a longer period. That’s why we strongly advise against applying for a mortgage as soon as you get your offer letter. Let things settle first; we promise it’ll be worth the wait.

Here are a few things to keep in mind when starting your new job and applying for a mortgage at the same time:

• Length of Employment: The amount of time you’ve spent at your current job, with a general preference for six months up to two years in the same role.
• Employment Type: Whether you’re employed full-time, part-time, on a temporary employment contract, or self-employed — each has different criteria.
• Income Stability: Consistent and reliable income is always preferred. Particularly if you can provide regular pay stubs from the employer.
• Income Level: Your annual salary demonstrates what kind of loan amount you can handle and maintain monthly payments for.
• Career Progression: Evidence that your career has been moving forward or progressing could indicate future stability.
• Industry Stability: Working in an industry with lots of development may help your application get approved.
• Probationary Periods: Some employers put employees on a probationary period before signing them on full-time. It’ll show that you’re more secure in your position if you’re past this stage.
• Future Employment Contracts: Lenders might ask for these if they want to know about any other contracts or independent work arrangements that will exert financial pressure on you in the future.
• Pay Structure: If you earn more than just a base salary (i.e. bonuses, commission), lenders will want to know how much this increases your income and how often it happens.
• Employment History: How often do you switch jobs? And why? Lenders consider this when assessing how long one stays at one’s current job.

Of course, if you are interested in getting a mortgage sooner rather than later, it might still be possible for you to get a mortgage early. Read to learn more, and book an appointment with an online specialist mortgage broker like YesCanDo Money.

Impact of Changing Professions on Mortgage Approval

Lenders would like to know that you have received a pay raise in this new position. A pay rise shows progression on your career path. However, lenders get anxious if you switch jobs to a different field. They want proof you’ve been consistently working in one place.

Timing a Mortgage Application When You Have a New Job

Managing a mortgage application while starting a new job can seem challenging, but it’s far from impossible. It’s all about timing. Balancing the need to show lenders your job stability with the need to wait until just before you start work to apply for a mortgage can simplify your life. Here’s how.

Knowing When Your Probation Period Ends

When you take on a new job, there is often an initial probationary period in which you must prove yourself and your skills before being fully employed. Some lenders will not approve applications from people still in their introductory phase with an employer, so it may be best to wait until this period is over before applying for a mortgage. This is not the case for every lender, which is why it is always best to work with a mortgage broker to find a suitable lender for your situation.

Having Enough Payslips

Most lenders want to see at least three months of payslips before they approve someone for a mortgage. If you’ve had a pay raise, the wait must be longer as they want proof of consistent income even with the raise. However, in some cases, formal offers of employment may satisfy this requirement if you are just starting or have not yet started your new job. However, it is important to remember that not every lender accepts job offers as proof of income, and requirements vary by bank, so consulting multiple banks and advisors is key here!

Preparing Your Mortgage Application with a New Job

To some, acquiring a mortgage while starting a new job may seem like a never-ending roller coaster. With that in mind, it’s important to understand how to prepare an application and clear up any financial concerns so you’re ready for homeownership.

What documents will I need?

Applying for a mortgage requires proof of income. Here are some necessary documents:

• Your most recent bank statements
• Two years’ P60 forms
• 3 months’ worth of payslips

It is uncommon, but some lenders do accept fewer payslips.

Enhancing Your Application for Mortgage Lenders Approval

Getting your mortgage application approved with a new job on the horizon is no easy task. However, there are some steps you can take to give yourself the best chance:

• Clarify Employment Status: Include important details about your employment status, like start date and terms.
• Proof of Income Stability: Get those payslips and employment contract ready, showing off your new job’s income stability.
• Highlight Career Growth: Brag about how this new gig advances your career or increases your pay.

Our speciality at YesCanDo Money is crafting strong applications for people who are just entering their careers or have just secured a new one:

• Access to Flexible Lenders: Our long list of lenders accommodates applicants in new employment situations. They understand the potential for future stability and growth.
• Personalised Advice for New Job Scenarios: We offer advice specifically tailored to help in these types of situations. Using your brand-new job as leverage, we’ll show you how to make your application shine.
• Guidance on Documentation: This is where we truly shine! We’ll work closely with you to demonstrate how great this job opportunity is, especially when it comes to income stability.

Starting a new job shouldn’t stop you from getting a mortgage. Talk to YesCanDo Money for an informal chat. As whole-of-market advisers, we understand the ins and outs of applying for mortgages with new employment and can help you secure approval. We’ve got plenty of experience in matching our clients with lenders who are ready to say ‘yes’ – so let us help you make your dream of a new home a reality.

Learn more about What Stops You Getting a Mortgage?

Special Considerations for Professionals

Beginning a new career in any field is exciting and challenging. In the healthcare, education, and law industries, you may face many unique advantages and challenges. Recognising these circumstances can open doors to tailored mortgage solutions that align with your career change and financial goals. Let’s explore how your profession impacts this path to homeownership!

Mortgage Information for Doctors, Nurses, Teachers, and Police

Most traditional lenders require at least six months of employment in your new job before considering you for a mortgage. However, professionals like Doctors, Nurses, Accountants, Teachers, and Police often find more flexible options. Our team can help match you with specialist lenders who recognise diverse income sources beyond traditional lending criteria.

Here are two examples of what some lenders offer professionals seeking a mortgage amidst their new job:

• Scottish Widows: As long as you’re a fully qualified and practising professional registered with their relevant governing body, Scottish Widows provides a Professional Mortgage solution. Specific details about their policies on new jobs aren’t readily available online, but they may have more flexibility than other mainstream banks.
• Teachers Building Society: This lender specialises in offering mortgages to teachers throughout the UK. They even work with teachers on probationary periods or just starting new jobs at different schools nationwide! Loans can be approved based on job offers without needing extensive employment history documents (even for Early Career Teachers (ECTs) where 12-month initial contracts are treated as permanent roles).

These lenders might be more lenient when it comes to new job situations. Still, approval will always depend on individual circumstances such as credit score, income level, or previous commitments, so check in with one of our advisors today!

Learn more about Mortgages for Professional jobs

Overcoming New Job Mortgage Challenges

A few common hurdles when securing a mortgage include probationary periods at a new job, credit history issues, and income verification.

How to Address Probationary Period Concerns

Of these three challenges, the probationary period with a new employer is the most common. Many lenders won’t even consider an application if you haven’t been in your position long enough.

• Shopping Around: Different banks and building societies have different rules. While some may require you to have completed your probation before your application will be approved, others may not have that requirement.
• Expert Advice: A mortgage advisor with experience dealing with different lenders can give you more tailored advice on which ones might still approve an application before their probation ends.
• Timing: If possible, wait until your employment is permanent before applying for a mortgage. This way, there’s no chance of losing the loan and being stuck with the mortgage payments.
• Documents: Make sure to gather proof of income stability, such as bank statements, payslips, and maybe even a letter from your employer.

These strategies don’t apply universally—everyone’s situation is unique and should be treated as such. For advice specific to your case, contact an advisor who can tailor help to your needs.

Lender Flexibility

If you’re still within the limits of a probationary period but need to secure a mortgage anyway, you should reach out directly for further guidance. In general, though, waiting until after the trial period has ended reduces your risk significantly – if the job doesn’t end up being right for you, then at least you won’t also be tied into expensive mortgage repayments! But do let us know if we can assist further.

Here are an example of two lenders that offer more leniency towards new jobs:

• Nationwide: They’ll accept applications from clients who start jobs within 3 months of their mortgage application date. It’s best to check with the lender what proof they need.
• Halifax: Halifax has a reputation for being understanding in this area. They offer mortgages to applicants who have recently started work or are due to start soon. A letter from a new employer confirming your start date and salary should suffice.

By learning about common challenges and familiarising yourself with these strategies, you set yourself up well for the application process. However, remember that everyone’s situation is different – so consulting with an advisor is always advised to get the most accurate help specific to you.

Ensuring Mortgage Success with a New Job

No matter if you’ve only recently taken on a new position or have just received a job offer, it is possible to get a mortgage with a different job. The chances of getting an accepted application will improve when working with an expert mortgage advisor. So get in touch today and find out what to do next.

Advice from an Expert Mortgage Broker

It will certainly help if you have been continuously employed for many years, as this makes you less of a risk to whatever lender you approach – be it online or at your local bank branch.

Choose YesCanDo Money for Personalised Fee Free Mortgage Advice

Don’t worry about this exciting new chapter in your life, because the team at YesCanDo Money are here to give you all the help you’ll need. With the assistance of our very own exclusive mortgage experts, we are confident that we will soon find and secure the best deal for your specific situation.

Our access to such a large number of lenders on the mortgage market (95+) means that we’ll be able to match one up with your requirements. Book an appointment with one of our advisors now and learn more about how they can help you.

Frequently Asked Questions