Here's the story. My mother and I are in the process of purchasing our dream home for both of us to live. Perfect neighborhood, close to both of our jobs, close to local stores, etc. We were doing just fine, it was a matter of us simply getting our down payment together and having our file reviewed by underwriting, with us intending to close on January 27th.
Then something happened. I ended up losing my job. Luckily, I had known that this was coming and had been pursuing new jobs for a while. I ended up accepting an offer for a new position as an engineering manager making significantly more money than I make now.
Here's the problem: the first 90 days of this job, I will be technically employed by a temp agency and not the company I will be stationed at. This is typical of the company in question, simply so that the payment of their recruiting agency's finders fees can be spread out over time.
So, I told my lender (Inlanta Mortgage) about this new position and the contract-to-hire stipulation. This stopped my lender dead in her tracks. It turns out, this income will not be able to count in the eyes of Fannie Mae because it is considered unstable. I can see their reasoning for this, but I'm wondering how this will work out.
My mom freaked out and called our lender, and was basically told that I switched jobs at likely the most inconvenient time possible and that the underwriter will likely not approve this income. Our lender had us fill out a form so she could talk about this situation with the seller's agent and see what we can do.
I'm scared that this position will cause me to lose this house and have to live with my mom in our crappy apartment for some time until my contract is up and I am employed in March. Not to mention, this is straining my relationship with my mom.
What can be done about this situation? Should I start looking into our local "subprime" lender, where I will be paying up the behind in interest but at least can get this house? What options are available in this case?