I know this is 2 years later, but here's the thing that nobody mentioned above. What type of employment do you have? The lenders differentiate between employed in a salary position versus contract worker, vs hourly. Then there's 1099 contract workers and w2 contract workers. Here, in Silicon Valley, CA, there's a lot of contract workers, so these questions come up. If you have been in a contract worker position solid for 2+ years, no problem or the same with a regular employer. But the question comes up if you just recently switched from being a full-time employed salary position to an hourly position now. Because now you need to build that two year history in that type of employment arrangement. They have no way of knowing if you're going to still be employed in the next year. With that being said, this is more of a big deal if you're applying for no money down (FHA or VA), but less of a deal if you're doing a conventional loan (20% down).