What do Lenders look at on an application for a loan?
A lender will look at your employment and your credit history as indicators of how likely you are to pay back your loan. Lenders want to see stability, which means they will look closely any late payments during the last two years. They will pay particular attention to any rent or mortgage payments that were over 30 days past due. They’ll look at late payments for credit cards during the last 2 years. Your employment for the last two years is also important. Lenders look for steady employment with a single employer for the past two years (or at least employment in the same field). Other income — such as income earned from part-time, overtime, bonuses, or self-employment — is also acceptable if it has a two-year history. Don’t be afraid that just because you don’t have two years with the same employer behind you won’t be able to get a mortgage; a good mortgage professional will look at every loan alternative and may be able to make it work if you have reasonably good credit.
