Getting a Home Loan While on Probation at a New Job

Starting a new job and buying a home often arrive together — a better salary is frequently the very thing that makes the purchase possible. The catch is that most new roles begin with a probation period, and some lenders see that as a risk. The good news: being on probation is not a dealbreaker. Plenty of lenders will approve a home loan for a borrower in their first weeks of a new role. The trick is knowing which lenders, and how to present the application.

Why probation makes lenders pause

A home loan is assessed on your ability to keep making repayments for decades, and your income is the engine of that. During probation, either side can usually end the employment with minimal notice, so a cautious credit assessor sees income that is less certain than a confirmed permanent role. That is the whole concern — nothing about probation affects your credit file or your deposit. It is purely a question of income stability, which means it can be answered with evidence of stability from elsewhere: your industry track record, your employment history, and the strength of the rest of your application.

Lender policies vary more than you'd expect

This is the single most important thing to understand. There is no industry-wide rule on probation — each lender writes its own credit policy, and they land in genuinely different places:

• Some lenders have no probation restriction at all for permanent roles, and will lend from your first payslip.
• Some will lend during probation provided you have a history in the same industry or occupation, or subject to a lower loan-to-value ratio (LVR).
• Some want probation completed, or a minimum period in the role, before they will rely on the income.
• Many treat it case-by-case, where a strong file and a good explanation get an exception approved.

Applying to the wrong lender and getting declined creates a credit enquiry and a declined application you may need to disclose, which makes the next application harder. Matching your situation to a lender whose policy already fits is exactly the kind of legwork a broker does before anything is lodged — a core part of [improving your approval chances](/articles/credit-and-approval/improve-approval-chances).

Continuity is what assessors actually look for

Lenders distinguish sharply between a new job and a new career. If you have moved from one employer to another in the same industry — same or similar role, similar or better pay — most assessors read that as career progression, and many policies explicitly relax probation requirements where there is continuity of industry or occupation. A nurse moving hospitals, an electrician changing firms, an accountant moving up at a new practice: these are easy stories to tell.

A genuine career change is harder — say, leaving a trade to start in sales — because your track record in the old field says less about your prospects in the new one. It is still workable, but expect fewer lenders and more questions. Gaps between jobs also draw attention; a short, explained gap is fine, but months of unemployment immediately before the new role weakens the continuity argument. Be ready to explain your last two to three years of employment cleanly.

Permanent, contract and casual: the nuances

Your employment type changes the picture as much as probation does:

• Permanent full-time or part-time is the strongest position. Many lenders will accept a permanent role on probation, especially with industry continuity. Base salary is fully counted; overtime, bonuses and allowances may be shaded or need a track record.
• Fixed-term contract roles are assessed on the contract itself — its length, time remaining, and whether renewal is likely. A first short contract with no history is tough; contractors with a pattern of renewals in the same field are well accepted by many lenders.
• Casual employment usually needs a longer track record in the role — commonly somewhere in the six-to-twelve-month range, though policies differ — because hours can vary week to week. A brand-new casual role is the hardest combination, whereas a long-standing casual in a stable industry can be a perfectly good applicant.

If you are weighing up a job offer and a home purchase at the same time, the structure of the new role is worth factoring into your timing.

Documents that strengthen the case

Because probation is a confidence question, the file that answers it convincingly wins. Alongside the standard paperwork in our [documents checklist](/articles/credit-and-approval/documents-needed-home-loan), these carry real weight:

• Your employment contract, showing the role is permanent, the salary, the start date and the probation terms.
• An employment letter from your employer confirming the position — some will note that the role is expected to continue, which assessors like to see.
• Payslips from the new role, plus your final payslip or PAYG summary from the previous employer to show continuity of income.
• Evidence of your employment history — a resume or prior payslips demonstrating time in the same industry.
• Genuine savings and clean statements — a solid deposit history and tidy spending in the months before applying show the repayments are comfortable regardless of the job change.

A larger deposit helps too: a lower LVR reduces the lender's risk and widens the pool of lenders willing to look past probation.

Timing the application

You do not necessarily have to wait. If your continuity story is strong, applying during probation with the right lender is routine. But timing still matters at the edges: if probation ends in a few weeks, waiting can open up more lenders and sharper pricing; if you are getting pre-approval before house-hunting, remember that pre-approvals expire and lenders re-verify employment before formal approval, so a job change between pre-approval and purchase must be disclosed. Run your numbers through the [borrowing capacity calculator](/calculators/borrowing-capacity) early, and compare your options across [home loans](/loans/home-loans) before locking in a plan.

Talk it through with a broker

Probation lending is one of those areas where the answer is less about whether and more about which lender. We deal with these policies every week and can tell you quickly which lenders suit your role, industry and timeline — before any application touches your credit file. [Get in touch](/contact) and we will map it out with you.