This is a question we get quite a lot. A buyer will call up and say, “Hey Mortgage Brothers, I've been working for this company in Virginia for years. I've been remote, but I've got family in Arizona and I'm thinking of moving. Can I actually move to Arizona and work there? And can I get a mortgage?”
Well, the short answer is YES!
Moving to Arizona While Working Remotely?
You can often qualify for a mortgage while working remotely—if you meet underwriting requirements. Get personalized guidance for your relocation.
Do a lot of our borrowers work remotely?
Remote work, especially during the time of COVID, is getting more and more common. We'd say that maybe 5% of our borrowers work remotely, and we're happy to see and help that number keep rising. If you're thinking about getting a home here in Arizona and work from home, you can save yourself some reading time and give us a call at (602) 535-2171 and we'll start getting you squared away today. That being said, it's totally possible to get a mortgage while working remotely or from home. You just need to meet some requirements from an underwriting standpoint, which we'll get into shortly.
Do I need to talk to my employer?
Absolutely. This is one of the most important pieces of the puzzle. You're going to need to get documentation from your employer that states certain things. We understand it can be scary. We had a borrower recently that was worried they might lose their job if they asked their employer to let them work exclusively remotely. But, the consequences of not asking can be equally as high. Plus, many underwriters won't be willing to work with you if you don't have a signed letter from your employer.
How do I talk to my employer about moving?
This all comes down to having a great conversation with your boss or supervisor to make sure that they're okay with you moving out of state or working remotely. If you work for a larger company, there's likely a human resources department you can discuss this with. Many companies have boilerplate agreements that address this issue.
As well, to get an underwriter to sign on you're going to need to get a signed and dated letter from your employer that covers the terms of your employment. It's also going to have to state that it's okay for you to move to the location you are looking to live. And, for the state of Arizona, at least, it has to mention what your salary will be or what your current pay rate is. They will have to tell us when your start date will be, if you're not working there already, and what your job position is. As well, this can't be temporary nor can there be any strings attached, such as benchmarks you must hit to be allowed to continue to work remotely.
Does remote working impact investment properties?
Not really, this is mainly for primary homes. But if you have any questions about remote work and investment properties you can shoot us an email at Contact Form and we'll get right back to you.
What if I'm self-employed?
That's a different scenario but not a problem in most cases. If you meet certain requirements it's easy. If you're self-employed and looking for a mortgage give us a call at (602) 535-2171 and we can get right to helping you.
As always…
We're happy to help walk you through getting the second home or investment property squared away. If you have any questions about this or if you have any questions you'd like us to answer on our podcast, you can submit your questions using our contact form or give us a call at (602) 535-2171. Be sure to ask us for a free quote on your next mortgage. We'll personally work with you and help you through the whole process.
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Be sure to ask us for a free quote on your next mortgage. We'll personally work with you and help you through the whole process.
Wondering if relocating while working remotely affects your mortgage? Learn more by reading our piece on managing employment gaps, exploring credit card payoff options, comparing couple vs single applications, understanding how a rapid rescore can help, and seeing why a DSCR loan might be the alternative you need.
Mortgage Brothers LLC does not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only. You should consult your own tax, legal, and accounting advisors before engaging in any transaction. Mortgage Brothers NMLS 1007154, NMLS #210917 and 1618695. Equal Housing Opportunity.
Transcript of the Mortgage Brothers Podcast
Moving Out of State Tips for Getting a Mortgage While Working Remotely
Introduction [00:02]
I'm Eddie Knoell, and I'm Tom Knoell. Welcome to the Mortgage Brothers Podcast Show. Today, we are answering a common question: Can you get a mortgage while working remotely from another state? Many borrowers call us asking if they can move to Arizona and still qualify for a mortgage while keeping their remote job in another state.
Can You Get a Mortgage While Working Remotely? [00:37]
The short answer is yes, but certain conditions must be met. Many people have been working remotely for years, and after COVID, remote work became even more common. Whether you've always worked remotely or your company recently transitioned, you can qualify for a mortgage. However, lenders have specific requirements to ensure your employment is stable and sustainable.
What Do Lenders Look for? [01:13]
Lenders need to verify that your employer knows and approves of your remote work setup. Many borrowers ask, “Why does my employer need to know where I live?” The key issue for lenders is job stability. If your employer does not officially permit remote work, there is a risk that they could require you to return to the office, which might affect your ability to repay the loan.
Some key lender concerns:
- Is your remote work arrangement permanent or temporary?
- Will your salary and job title remain unchanged?
- Can you provide written confirmation from your employer?
Employer Approval and Documentation [02:50]
If you want to qualify for a mortgage while working remotely, your employer must provide a letter on company letterhead that states:
- Your job title and salary
- Your start date and employment terms
- That you are allowed to work remotely indefinitely
- That there are no conditions attached to your remote work (e.g., sales quotas, performance targets, or future reviews)
The letter must be signed by your employer and cannot be an informal email. Some lenders may also conduct a verbal verification with your employer.
Issues That Can Disqualify You [03:54]
A borrower recently called us wanting to buy a home in Arizona but did not want their employer to know about their plans. This is a red flag for lenders. If your employer doesn't know or hasn't explicitly approved your remote work setup, lenders won't consider your income stable.
Another common issue is temporary remote work arrangements. If your employer only allows remote work for a set period or requires you to return to the office at some point, lenders may deny your loan application.
Key Takeaways [06:20]
- Employer approval is crucial – You need written confirmation that your remote work arrangement is permanent.
- The letter must be formal – A simple email won't work. It must be on company letterhead and include specific employment details.
- No conditions or time limits – The arrangement cannot be temporary or contingent on meeting certain job performance criteria.
- W-2 Employees Only – These rules apply to W-2 employees. If you are self-employed, different rules apply.
Remote Work and Loan Types [07:59]
This situation mainly applies to primary residences. If you're purchasing a second home or an investment property, remote work doesn't have the same impact on your loan approval. However, if you are relocating and need a primary residence mortgage, lenders will closely examine your employment situation.
Final Advice [09:07]
If you're thinking about moving to another state while keeping your remote job, start planning weeks in advance. Talk to your employer, get the necessary documentation, and consult with your mortgage lender early in the process.
If you have any questions, feel free to contact the Mortgage Brothers Team. And if you found this information helpful, be sure to subscribe to our channel and click the notification button!