When relocating to another state, is it best to secure employment BEFORE buying a new home or to BUY before finding employment?

Cindy
Home Buyer
Waterloo, NE

I have 30 years equity in my current home and ideally would be able to sell prior to closing on another home, thus a large ($50,000)down payment. Our finances are such that we have very little debt (outside of our current mortgage)and good credit scores. Looking to buy a smaller home in the $60-90,000 range.

Answers (3)
BenitoGarza....
Agent
Minneapolis, MN

What about buy when you fell you made the right move? What if you don't like the city, people, or something does not fit. Do you want to be attached to a home and cannot move until you sell? I understand that many do not want to rent but renting is not a bad thing.
Have you ever live in the city you are relocating? Do you know the areas that will be better for your needs?

You need to contact a Home Mortgage Consultant in the area you will be relocating, as other said.
If you find a job on the same field and same position, you might be ok, but every lender will seek for stability.

You don't have to get a 30 year mortgage, you could do 15 years (if you quilify). Also, do 20% downpayment or 30%, this will make your payments very low and you could make larger payments to pay off quick.

I think buy when you are comfortable with job, city and yourself.

Tue Oct 20 2009, 10:09
Lynn911.com Dal...
Agent
Dallas, TX

Lender will not allow you purchase a home UNLESS you have two years employment.

If you can purchase our clients do as an investment property, then move seek employment IT COULD work based on lender restrictions.

Recommend confer with mortgage broker in area seeking relo, DON'T ALLOW loan officer pull your credit till you have determine relo and date. If scores are pulled lower by approx. 5 - or + . Most lender letter expire within 60 dates from published date.

You need qualified loan prior working with agent all sales offer are submitted lender statement of ability purchase a home

GREAT QUESTION !

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Tue Oct 20 2009, 08:58
Julia Odom
Agent
Chattanooga, TN
FIRST ANSWER

Your new lender is probably going to want to see that you will have the means to pay the mortgage before approving a new loan. They will also prefer that your new job is in the same or similar field as the one you are leaving in your old state (to show continuity in your career).

If you'll be putting down $50,000 on a $90,000 purchase the rules might end up being relaxed to a certain extent but I would go ahead and contact a local lender before making any decisions.

Also keep in mind that you will pay a higher interest rate and may have more difficulty finding a lender who can do a mortgage for a relatively small amount (less than $50k-75k).

Web Reference: http://www.JuliaOdom.com
Tue Oct 20 2009, 08:56

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