There are several ways that a prospective home buyer can get a mortgage without a job, either alone or in tandem with another individual.
You Have Other Reliable Income
As you might imagine, lenders may consider other reliable sources of income besides a full-time job when researching and determining whether or not you qualify for a mortgage. After all, there are many ways to bring in money these days, not all of which require you to work for an employer, let alone on a 9-to-5 basis. For example, some alternate sources of income that lenders may consider as they go about reviewing your application include, but are not limited to:
- Child support payments
- Alimony payments
- Rental property income
- Retirement income
- Investment income
- Divided payments
You Have Significant Cash Reserves
Alternately, if you have significant cash reserves, you may find that it’s enough for a lender to approve the home mortgage. For example: It’s not uncommon for those who’ve inherited large sums of money from loved ones or saved up significantly over the course of their career to have enough savings in the bank to meet monthly home loan obligations. In these cases, although technically unemployed, borrowers may be approved for a home mortgage if they have enough money on hand.
Have Someone Co-Sign
A co-signer is another individual (a parent, spouse, or relative) who agrees to assume financial responsibility for your mortgage if, despite being the primary borrower, you find that you are unable to make required payments. Loved ones, friends, and anyone otherwise willing to vouch for you that has sufficient income and a good credit score can serve as a co-signer on the home loan.
Work With A Housing Counselor
The Department of Housing and Urban Development (HUD)-approved housing counselors are professionals who can help evaluate your financial situation and prospective ways for paying off your home loan. As government-trained and -certified parties, they can work with you to improve your chances of obtaining a home mortgage, and to create a plan to help you with your mortgage obligations at little to no cost. Housing counselors generally work alongside local agencies whose mission it is to help provide housing to individuals with lower incomes, or who may be purchasing a property for the first time.
