Mortgage approval finally granted, but now facing redundancy.

Gwan_so

Hi,

My husband and I have been through a broker and have finally got approval from Ulster Bank. We were absolutely delighted but now find ourselves in a bit of a bind.

My boss has told my team that we *may* face redundancy at the end of 2015 as he is setting up a sister company and is investing time and effort into this. He said we will all "more than likely" be offered jobs in this company.

I had a quick look around for alternative jobs and have ended up in the final rounds of interviews for another job (15k more annual salary plus better benefits).

I'm wondering, if I move jobs now is our application ****ed? My husband is the primary applicant as he earns more than me, and if I get this job we'll be better off financially than before. Even if I ended up out of the job we'd easily be able to afford repayments on my husband's salary alone.

I'm torn now, I want to buy a house, but this job sounds like a fantastic opportunity. I would, however, turn it down if it meant we'd be unable to get a mortgage for a year.

Any help or advice greatly appreciated.

seamus

The banks' underwriters don't like to see that you're on a probation period in a job, and would prefer that you'd been there at least a year. But it's not the be-all and end-all, especially when you're both employed.

I would be upfront about it - certainly with your broker. Don't mention the word "redundancy", but say that you've been offered a job with better pay and conditions, and you want to know if it'll hurt your mortgage application.

You haven't actually changed jobs, so asking the question as this stage can't do any harm.

phoenix49

Ideally I wouldn't change the job until I get the house keys, I'm now in mortgage approval step and waiting for a response from the bank and have the opportunity to change the job and get one which pays more but won't do that now.

I have a slightly off topic question: How long did it take to get an approval from bank? They told me it will take around 10 days, just curious how true is that. Its Ulster Bank.

Thanks and best of luck!

ixus

I think it would be 6months as opposed to a year. If you're not bidding on a house or sale agreed i wouldn't worry about it.

There are worse scenario's than having to wait.

1. You go sale agreed, go through the motions then lose your job in middle and can't go through with purchase. Then you have to find a job and. Build up again. Could be very stressful.

2. You close on a house purchase and move in. Lose job and can't find another one. How would this affect family and ability to repay?

The possibilities you open by taking a better paid job you like more:

1. Happier you and family.
2. Can save more.
3. Can borrow more if desired after the probationary period.

2 & 3 might get you over the line in a bidding process.

the groutch

Gwan_so wrote: »

My boss has told my team that we *may* face redundancy at the end of 2015 as he is setting up a sister company and is investing time and effort into this. He said we will all "more than likely" be offered jobs in this company.

the question is though, even if you're able to get a mortgage, do you really want to pin your ability to repay it on "more than likely", and risk being up **** creek in a few months time?

jennyhayes123

Would it actually affect you getting mortgage? If you have already been approved I don't see why it would?