Hi, I am 22 and just recently graduated looking to get a house in Orange County, California. Since I was young, I have made money doing side hustles/jobs and have saved since. I now have enough for a down payment and some to spare with the help of an FHA loan. My issue though is my employment history and proof of income since I am just about to start my steady job and do not have proof of prior income/employment. My first thought was to do a lease option. I would love to hear other perspectives on my situation and would appreciate any tips, tricks, or workarounds to my dilemma.
Copy of college degree, job offer w-2 in writing, good credit, first paycheck, the money in checking and you have the pieces you need to do a FHA loan.
Hey Blake, if you’re looking for a home for yourself or to use the home to house hack there are special loans out there that might work for you. If you just graduated there are loans that you can get that don’t require employment history as long as you have an offer letter from your new job. What part of OC are you thinking of looking in?
@Blake Wight Loans are given to college graduates just starting their first “real” job every day. Sit down with a lender, you’ll learn what you can qualify for. Remember, you’ll likely have 5-6% in closing costs, prepaid insurance and property taxes, etc., which much of you may can negotiate as a seller credit.
Hey Blake, if you’re looking for a home for yourself or to use the home to house hack there are special loans out there that might work for you. If you just graduated there are loans that you can get that don’t require employment history as long as you have an offer letter from your new job. What part of OC are you thinking of looking in?
Hey Josh, firstly thank you for that information. Secondly, I am trying to find somewhere 20 minutes or less to the coast from San Clemente to Huntington beach. My intent is to house hack and at the least have a neutral cash flow from the property. Also, I need a low down payment similar to the FHA loan to be able to likely afford the property.
Hi, I am 22 and just recently graduated looking to get a house in Orange County, California. Since I was young, I have made money doing side hustles/jobs and have saved since. I now have enough for a down payment and some to spare with the help of an FHA loan. My issue though is my employment history and proof of income since I am just about to start my steady job and do not have proof of prior income/employment. My first thought was to do a lease option. I would love to hear other perspectives on my situation and would appreciate any tips, tricks, or workarounds to my dilemma.
Hey Blake, if you recently graduated then your time in school basically replaces the 2 years of employment requirement. Just let the lender know you recently got your steady job and that you just graduated from college and you should be good to go for a loan assuming DTI numbers pan out.
Copy of college degree, job offer w-2 in writing, good credit, first paycheck, the money in checking and you have the pieces you need to do a FHA loan.
@Blake Wight- get the steady job in place asap as lenders should be able to grant you a loan with the new job and the college history ......without employment in place - it will be hard to get a fha loan
Hi, I am 22 and just recently graduated looking to get a house in Orange County, California. Since I was young, I have made money doing side hustles/jobs and have saved since. I now have enough for a down payment and some to spare with the help of an FHA loan. My issue though is my employment history and proof of income since I am just about to start my steady job and do not have proof of prior income/employment. My first thought was to do a lease option. I would love to hear other perspectives on my situation and would appreciate any tips, tricks, or workarounds to my dilemma.
Hey Blake, if you recently graduated then your time in school basically replaces the 2 years of employment requirement. Just let the lender know you recently got your steady job and that you just graduated from college and you should be good to go for a loan assuming DTI numbers pan out.
Hey Liron, I appreciate the response. Does this still pan out even if I am applying for a 3.5% down FHA loan.
Hi, I am 22 and just recently graduated looking to get a house in Orange County, California. Since I was young, I have made money doing side hustles/jobs and have saved since. I now have enough for a down payment and some to spare with the help of an FHA loan. My issue though is my employment history and proof of income since I am just about to start my steady job and do not have proof of prior income/employment. My first thought was to do a lease option. I would love to hear other perspectives on my situation and would appreciate any tips, tricks, or workarounds to my dilemma.
Hey Blake, if you recently graduated then your time in school basically replaces the 2 years of employment requirement. Just let the lender know you recently got your steady job and that you just graduated from college and you should be good to go for a loan assuming DTI numbers pan out.
Hey Liron, I appreciate the response. Does this still pan out even if I am applying for a 3.5% down FHA loan.
It should work, yes. If you can, though, I'd recommend going 3-5% conventional rather than FHA just so you don't need to refinance out of the mortgage insurance later on. FHA you get stuck with it but it's not the end of the world. Try for conventional but settle for FHA if you must.