To purchase a home with a mortgage after quitting a job, first secure alternative proof of income, such as freelance contracts, severance agreements, or savings history. Save for a down payment (typically 3-20% of the home price) and closing costs (2-5% of the loan). Consider loans like FHA (3.5% down) or VA (0% down for veterans) to reduce barriers. Secure a co-signer if income is unstable, and consult a mortgage broker to navigate approval. Maintain a high credit score (aim for 620+) and document post-quitting financial stability.

After quitting a job, lenders may view your mortgage application as riskier due to income uncertainty. However, strategic planning can mitigate this. A 2023 Federal Reserve report found that 64% of Americans saved over six months for a down payment, and FHA loans approved 76% of applications with scores above 620. Post job loss, 58% of mortgage applicants relied on savings or side income to qualify, per the National Association of Realtors. For example, a $300,000 home with a 3.5% down payment requires $10,500 upfront, while closing costs average $6,000. A co-signer with steady income can boost approval odds by 40%, as noted in Fannie Mae data. Additionally, 2022 data from Zillow shows 60% of buyers purchased homes within two years of job loss, often using adjustable-rate mortgages (ARMs) to lower initial payments. Proactive steps like documenting self-employment income, maintaining consistent savings, and leveraging government-backed loans significantly improve success rates.