Unemployment and purchasing next investment

[Rami W.]

So, today was a rough day. I was let go after 8 years. Unexpected, but it's ok, as it was time to move on anyway. HOWEVER, I was on the verge of buying my 2nd investment property. I still have a solid down payment 20-25%...but now what? I haven't had any real time off for 8 years. I would LOVE to be able to take a month off and take a mental break. But wondering how that will affect my chances for getting a loan. Should I not even think of time off or unemployment and find a job? Or has this lapse in employment ALREADY screwed me over for the next year? Any advice? Thanks.

[Jon K.]

It would be hard to get a mortgage with no job.

Lenders in my area want someone with a job, and with a job they've had a long time. I'm not sure that getting a job and applying for a mortgage a week later would work well for you.

Did you already qualify for the mortgage?

I would take the month off, figure out your next career step, then worry about purchasing other properties later. You could need that down payment for living expenses. The economy is still rough... finding a good job isn't always easy. Good luck. That's brutal to be let go after 8 years, but don't take it personally. The economy has led to a lot of layoffs, but you'll land on your feet again.