How long must a borrower with a professional degree PhD, but no work history, wait to establish adequate employment history?

When evaluating a borrower's eligibility for a mortgage, particularly one who holds a professional degree like a PhD but lacks work history, it's crucial to assess the nature of their employment situation. Once the borrower is employed and has completed any required probationary period with their employer, they can start to establish an employment history.

This is significant because lenders typically look for a consistent work record to determine the borrower's reliability in making loan payments. The probationary period is a time during which the employer assesses the new hire’s performance, and upon successful completion, the borrower is considered to have established stable employment. Therefore, they do not need to wait for a specific duration beyond this probation to be seen as having adequate employment history.

Establishing employment history as soon as the probationary period ends allows for a more efficient mortgage approval process, reflecting the current industry standards and practices regarding employment verification and borrower qualifications.