Can I Get a Home Loan If I've Just Started a New Job?

You've just landed a new job (Congrats by the way!)

Better salary.
Better opportunities.
Maybe even a workplace that doesn't expect you to answer emails at 9pm.

And now you're finally thinking about buying your first home.

But there's one little problem.

You're on probation.

So, does that mean you have to wait another three or six months before applying for a home loan?

The short answer: No, not necessarily.

Some lenders will consider your home loan application even if you've only recently started a new job. It depends on your employment history, the type of work you do, how you're paid and the lender's individual policies.

Let's break it down.

Can I get a home loan while I'm on probation?

Yes, it's possible.

There's a common misconception that you need to be employed for at least six months before a bank will consider giving you a home loan.

That's not a universal rule.

Some lenders are comfortable with applicants who are still on probation, particularly if they're working in a permanent position and have a consistent employment history.

Others may have minimum employment requirements or ask for additional evidence of income.

For example, imagine you're an accountant who's worked in the industry for seven years.

You've just moved to another accounting firm, and your salary has increased from $95,000 to $115,000.

You're doing essentially the same job, just for a different employer.

Some lenders may view that differently from someone who's just entered an entirely new industry with no previous experience.

The important thing is finding a lender whose employment policy suits your circumstances.

What if I've only been in my new job for two weeks?

You still have options.

But I'd want to know a few things first.

Were you employed immediately before starting this job?
Are you working full-time or part-time?
Is your salary fixed, or does a large portion come from commission?

And importantly, have you received your first payslip?

Lenders generally need evidence that your income is genuine and ongoing.

According to the Australian Prudential Regulation Authority (APRA), lenders should verify employment and income using appropriate documentation, which may include payslips, employment confirmation and bank statements.

Depending on the lender, we might need your signed employment contract, recent payslips or confirmation from your employer.

So please don't assume you need to put your property plans on hold simply because your new employee ID card has barely arrived.

Does changing jobs affect how much I can borrow?

It can, but not always negatively.

Let's say you've been earning $90,000 and you've just accepted a new role paying $120,000.

That's an extra $30,000 a year.

If a lender is willing to use your new salary, your borrowing capacity could improve.

But if you've moved from a permanent salaried position into casual employment, contracting or a commission-heavy role, the assessment could be different.

Lenders don't necessarily treat every type of income the same way.

APRA's residential mortgage lending guidance explains that lenders should consider the reliability of income and may discount certain variable income sources, including bonuses and commissions.

Your borrowing capacity will also depend on your expenses, debts and other financial commitments.

I've explained more about that in my article Why Has My Borrowing Capacity Dropped Even Though My Salary Hasn't Changed?.

What if I've already been pre-approved and then change jobs?

This is where I'd be a little more careful.

Imagine you've been pre-approved for a $750,000 home loan.

A month later, you receive a fantastic job offer.

You accept it, resign from your current employer and start your new role.

Then you find a property you love.

Here's the thing.

Your original pre-approval was based on your financial circumstances at the time.

Changing employers, income or employment conditions may mean the lender needs to reassess your application.

That doesn't automatically mean your pre-approval is cancelled.

But I would absolutely want to check your new employment details with the lender before you make an offer or bid at auction.

You can read more in my article Can My Borrowing Capacity Change After I've Been Pre-Approved?.

Should I wait until I've passed probation before applying?

Not without checking your options first.

If you've been working consistently in the same industry and have moved into another permanent role, you may not need to wait.

If you've changed careers, have a gap in your employment history or rely heavily on variable income, waiting until you have more payslips or employment history might improve your options.

But I wouldn't automatically tell someone to wait six months without first looking at their circumstances.

Because six months is a long time to put your plans on hold if you don't need to.

What documents will I need?

If you've recently changed jobs, a lender may ask for:

Your signed employment contract or letter of offer.
Your most recent payslips.
Previous payslips or employment history.
Bank statements showing salary payments.
Confirmation of your employment status, salary and start date.

The exact requirements will depend on the lender and your situation.

ASIC's Moneysmart guide to buying a house also explains how lenders assess your financial circumstances before providing home loan pre-approval.

So, can you buy a home after starting a new job?

Potentially, yes.

Starting a new job doesn't automatically mean you're ineligible for a home loan.

What matters is your overall financial position, the stability and type of your employment, and which lender you're applying with.

And this is why I always recommend speaking to a mortgage broker (me) before deciding you need to wait.

You might have more options than you think.

Just started a new job and thinking about buying?

I'm Eshanee, a Sydney mortgage broker and ex-banker at April Six Finance.

If you're worried that changing jobs has affected your chances of getting a home loan, let's look at your circumstances before you put your plans on hold.

Book a chat with Eshanee by clicking here.

We'll work out where you stand and whether now is the right time to apply.

Frequently Asked Questions:

Can I get a home loan during my six-month probation period?

Yes, some Australian lenders consider applicants who are still on probation. Approval depends on your employment history, income, financial circumstances and the lender's policies.

Can I get a mortgage after only one month in a new job?

Potentially. Some lenders may consider an application after a short period of employment, particularly if you have a consistent work history. They may require payslips, an employment contract or other supporting documents.

Do banks require six months of employment before approving a home loan?

Not all banks do. Minimum employment requirements vary between lenders and can depend on whether you're permanently employed, casual, contracting or self-employed.

Will a higher salary in my new job increase my borrowing capacity?

It could. If a lender accepts your new income, a higher salary may improve your borrowing capacity. However, your expenses, debts, employment conditions and the lender's assessment criteria will also matter.

Can I change jobs after getting home loan pre-approval?

Yes, but you should notify your mortgage broker or lender. A change in employment may require your application to be reassessed before final approval.

Any information or advice contained on the April Six Pty Ltd website is general in nature only and has been prepared without considering your individual personal objectives, financial situation or requirements. Before acting or relying on this information, you must consider the appropriateness of this information with regard to your individual circumstances and objectives.

April Six Pty Ltd is a Credit Representative of Astute Financial Management Pty Ltd | Australian Credit Licence 364253

Eshanee Collins is the founder of April Six, a Sydney-based mortgage broker for first home buyers and first-time property investors across Australia.

📱 0488 471 888 | @eshanee_thebroker | aprilsix.com.au

Can I Get a Home Loan If I've Just Started a New Job?