In the dynamic real estate markets of Wilmington, Hampstead, and Leland, the path to a closing table often requires more than just a strong credit score and a down payment. For many buyers moving to New Hanover or Brunswick counties, a non-linear career path or a recent relocation can trigger a request from mortgage underwriters for a Letter of Explanation (LOX) regarding employment gaps. While this request can feel like a setback, it is actually a strategic opportunity to provide the “human” context that a standard pay stub cannot convey.

The Underwriter’s Objective: Assessing Recurrence

Underwriting in 2026 remains focused on one central question: Is your income stable and likely to continue? An employment gap, whether it was two months or two years, creates a “risk signal” that suggests a potential interruption in your ability to repay. In the coastal market, where many professionals are transitioning into roles at the Wilmington Port or the Novant Health network, underwriters look for compensating factors that prove the gap was an isolated event rather than a recurring pattern.

The Anatomy of a Successful Explanation Letter

A common mistake made by buyers in Onslow or Pender counties is treating the LOX as a personal narrative or a plea for empathy. Underwriters are not looking for a story; they are looking for a professional, factual summary that checks a specific underwriting box.

• Keep it factual and concise: Provide dates, the reason for the gap, and the date you returned to the workforce.
• Focus on stability: If your gap was due to a relocation to Wrightsville Beach or Oak Island, emphasize that you moved for a specific career advancement or to a market with a lower cost of living, which strengthens long-term financial security.
• Avoid emotional language: Skip phrases like “I was struggling” or “it was a difficult time.” Use neutral terms such as voluntary leave for family care, educational pursuit, or strategic career transition.

Coastal Scenarios: Relocation and Seasonality

In Southeastern NC, two employment-gap scenarios are especially common.

Relocation Gap: A buyer leaves a position in another state and takes 60 to 90 days to settle in Surf City before starting a new role. In this case, your letter should highlight that the gap was planned and tied to a permanent relocation.

Industry Shift: If you moved from a corporate role to a position in the Topsail tourism industry or transitioned into a remote-work arrangement, the underwriter will want to see that your new income is not seasonal. If there is a gap between these roles, a signed offer letter for the new position is one of the strongest supporting documents you can include.

Strategic Proof: What to Attach

A letter alone is rarely enough. To satisfy an underwriter in the Wilmington market, strengthen your explanation with third-party documentation when it applies:

• Transcripts: If the gap was for education.
• Medical release: If the gap was due to a health issue that is now resolved.
• Verification of Employment (VOE): Confirmation from your current employer that you are active and no longer in a probationary period (if applicable).

Your Strategic Guide to Coastal Real Estate

Navigating the complexities of mortgage underwriting requires a partner who understands how to translate your unique financial history into a successful home purchase. At Aspyre Realty Group, we recognize that life doesn’t always happen in a straight line.

We pride ourselves on being experts in listening and communicating people’s wants into homes that work for them. As your strategic partner and guide, we help you prepare for the scrutiny of the loan process, ensuring that your transition to Leland, Wilmington, or Hampstead is supported by clear, professional, and effective communication.