Homebuying Strategies for Gig Workers: Expert Q&A

Home buying for gig workers

Over a quarter of Americans said they had a side job in 2025, according to a Bankrate study. The report showed the percentages follow the generational wealth curve accordingly, ranging from 34% of Gen Zers with second jobs to 22% of baby boomers.

Many of these secondary jobs are in the gig economy and typically don’t come with a W-2. Historically, borrowers with inconsistent salaries would face more difficulty getting their mortgage underwritten.

But most lenders have kept up with the changing labor market. Gig workers shouldn’t have issues as long as they claim their income correctly, according to credit reporting and income verification expert Curtis Knuth.

We spoke with Knuth about how first-time home buyers with non-traditional income streams can be seen in the competitive housing market.

Meet the expert

Curtis Knuth is the president and chief executive officer at National Credit-reporting System and Service 1st. Based in New Jersey, he has over 30 years of experience in credit reporting, borrower verification and risk mitigation in the mortgage and financial services industry.

Knuth shared his insights on verifying income in an economy dominated by side hustles and gig work in a Q&A with The Mortgage Reports. Answers have been edited for brevity and clarity.

Affordability is becoming more of a struggle for later generations, which correlates with the higher shares of side jobs. How can gig workers boost their home buyer profile?

Most gig workers get 1099 income. I think lenders have kept up with that from a documentation and underwriting standpoint. As long as borrowers claim that income on the tax return side, they should be able to get and use that information for qualifying.

Employers typically look for length of employment. If it’s below a certain time period, it does raise flags. As compared to having a single employer, lenders want to see a continuous, steady level of income. That would help their borrower profiles. The issue is default risk. At the end of the day, that’s what drives those underwriting requirements.

What’s something most borrowers don’t know about income verification and credit reporting?

Getting the consumer authorization to pull their income upfront is fantastic. If they don’t qualify, you can either put them through processes to how they can qualify. I always say that lenders don’t have a hard ‘no.’ Let’s say they have a bad FICO score below 620 — you can provide them a personalized plan that they can move forward with on their own, and it is extremely accurate as to how much it will raise their credit score. Like, how many credit cards to pay down or pay off and close, if there’s collection accounts, etc. So there are opportunities all over the place to coach a consumer through what they have to do to get into the loan program they want to be in.

A big part of what we’re focused on right now is how can we give the lender the easiest way to do a really good sniff test on that consumer to make sure that they are in the ballpark for approval, and if they’re not, how can you coach that consumer through to the point where they can reapply and get to an approval.

On the credit reporting side, reports usually run on 45-day cycles. If that window closes before you can get approved, you may have to do a supplemental report. Sometimes those supplements are phone calls with the borrower, creditor, and service agent. Many times, an origination will have hiccups because the consumer wasn’t available at the time of the call or missed the email communication from the lender. So there still may be instances where you may be asked to step back in and be part of a credit supplement conference call with creditor.

What is your top advice right now for first-time home buyers?

Make certain that your income information and data goes to the IRS and is filled out properly. That’s number one. Second, as a credit reporting company, we always, ALWAYS advise that as soon as your credit report gets pulled, limit all transactions on your credit card.

You just want to lock it down. Don’t buy furniture, don’t go get a new car, don’t make a bunch of inquiries on new credit cards. You want to just keep that credit history as clean as and uneventful as you possibly can. You need to be disciplined about it. That’s something we tell the lenders to prep the consumers for.

The bottom line on home buying as a gig worker

Regardless of your employment situation, boost your chances at homeownership by making sure you’re prepared, learning to negotiate, and see if you qualify for financial assistance.

If you’re ready and want to get started, reach out to a local lender today.