Buy Before The First Day Of Work.
An executed employment offer or contract can be used to qualify before you have started the job.
The job you are about to start can count
An executed offer or contract is documented income, within defined limits.
- An employment offer or contract is required, and it must be executed.
- The start date must be no more than 90 days after the note date.
- Where employment has already begun, the start date must be no more than 30 days before the note date.
- Additional reserves are required, covering six months of principal, interest, taxes, insurance and association dues.
- Those reserves are on top of whatever the transaction otherwise requires.
- Projected or hypothetical income is not acceptable; the contract is what makes it work.
Executed offer or contract required
Start within 90 days of the note
Six months of PITIA reserves
Reserves are in addition to the usual
No hypothetical income
Verbal verification where started
What is the Saxton New Job Offer Letter Home Loan?
Qualifying on an employment contract when the job has not started yet.
Relocating for work creates an awkward sequence. You have the job, you know what it pays, and you need somewhere to live when you arrive, but you have not been paid by the new employer yet. Standard income documentation looks backwards at what you have earned, which does not help.
Agency guidelines allow for this. Projected income from an executed employment contract is acceptable for qualifying, provided the arrangement is documented properly. The offer or contract has to be executed, and the start date has to be no more than 90 days after the note date. Where employment has already begun, a start date no more than 30 days before the note date is handled with a verbal verification confirming active employment status.
There is a condition attached, and it is a meaningful one. In addition to the reserves the transaction would otherwise require, you need to document financial reserves sufficient to cover principal, interest, taxes, insurance and association dues on the subject property for six months. That cushion is the reason the arrangement is permitted, so it is worth planning for early.
Why choose Saxton when you are starting a new job?
For people relocating for work who need the house sorted before the start date.
The Contract Counts
An executed employment offer or contract is acceptable documentation. You do not have to wait for pay stubs from a job you have already accepted.
A Defined Window
The start date has to fall within 90 days of the note date. Knowing that number lets you time the purchase properly.
We Will Flag The Reserves Early
Six months of principal, interest, taxes, insurance and dues, on top of the usual requirement. This is the part that surprises people, so we say it first.
Already Started Is Fine Too
If you have begun the job recently, a verbal verification of active employment handles it rather than a long earnings history.
Honest About What Will Not Work
Projected or hypothetical income is not acceptable. It has to be an executed contract. We would rather be clear than let you build on a maybe.
Tell Us The Start Date
The ninety day window runs from the note date, so your start date is what determines when the closing needs to happen.
Hear From Homeowners Like You
Frequently Asked Questions
Straight answers about buying a home around a new job.
Yes, within limits. An executed employment offer or contract can be used, and the start date has to be no more than 90 days after the note date.
Then a start date no more than 30 days before the note date is handled with a verbal verification of employment confirming that you are actively employed.
Reserves. You need to document six months of principal, interest, taxes, insurance and association dues on the property, in addition to whatever reserves the transaction already requires.
No. The offer or contract has to be executed. Projected or hypothetical income is not acceptable for qualifying.
Then it falls outside the window, and we would need to look at timing the closing differently. It is worth telling us the start date early so we can plan around it.
Often yes. There are also provisions for a borrower who has recently changed employment within the same field and has guaranteed bonus income documented in an employment contract.
The provisions vary by program. Tell us the loan type you are considering and we will confirm how it is treated there.
Find out what you qualify for
If you have signed an offer and need a house before the start date, this is workable. Send us the contract and the start date.
Get Pre-Qualified*Loan amounts, rates, terms, and eligibility are subject to credit approval, income and asset verification, appraisal, and program guidelines. Qualifying with an employment offer or contract requires an executed agreement, a start date within the window defined by the applicable program, and documented reserves in addition to those otherwise required for the transaction. Projected or hypothetical income is not acceptable. Not all applicants will qualify. Saxton Mortgage, LLC is an Equal Housing Lender.