Getting a mortgage if you are considering taking voluntary redundancy

Red_Fountain

Hi,
I may soon have the option to take voluntary redundancy and, if I take it, I am then planning to do some contracting via a limited company.

However, I do not currently have a mortgage, but would like the option of maybe buying a house in the next few months.

So, I am wondering whether I can apply for a mortgage now, get a mortgage guarantee, take the redundancy shortly after and then still take up the mortgage offer.

I have a few questions that I am hoping somebody can help me with:

* If I apply for a mortgage, will I be asked whether I know of any upcoming redundancy?
* Will my employer be asked if there is any upcoming redundancy?
* Will it make any difference that there is an offer of voluntary redundancy (which I still may or may not take), rather than a definite forced redundancy?
* Do I have to declare the fact that there is an offer of voluntary redundancy?
* If I do take redundancy before the mortgage guarantee comes through, do I have to declare it, and does it make any difference?
* If I do take redundancy after the mortgage guarantee comes through, do I have to declare it, and can it invalidate the guarantee?

I just want to see if I can realistically apply for a mortgage at the moment. If not I will probably just take the redundancy, and then have to put off buying a house, until I get to a position that people will lend to me.

Not sure if it makes any difference, but:

* I am a first time buyer
* I am 30 and married
* My salary is about £80,000
* My wife's is about £40,000
* We have a deposit of about £300,000
* I was planning to get a guarantee for the maximum they would be willing to lend (assuming the full £300,000 deposit), and then just use as much of it as we need

Any help would be greatly appreciated.

Thanks,
Steve

poppy_f1

if you have a deposit of 300K why dont you buy something outright

dannyb123_2

Sounds like a classic p**s take to me!!!!

Red_Fountain

poppy_f1 wrote: »

if you have a deposit of 300K why dont you buy something outright

Hi Poppy.

Because properties that are in the size (wife and 2 kids) and location (decent areas of North London) that I need are in the region of £500-700K.

I am not going to downsize from the type of property that I currently rent, to either a property in a less desirable location or a property that is too small, when I have a £300K deposit, and I can probably get a mortgage in excess of £300K.

I could probably get a one bedroom flat in Liverpool for £150 and then put the other £150 in the bank, but it doesn't suit what I need.

Red_Fountain

dannyb123 wrote: »

Sounds like a classic p**s take to me!!!!

Danny. Please see my response to Poppy.

I'm amazed that, with property prices what they are, asking about getting a mortgage with a £300K deposit is seen as a "p**s take", rather than being fairly common.

Perhaps I should have gotten a mortgage 10 years ago, rather than renting, but we all make mistakes. Most of the experts were predicting a tumble in prices then...they were only 8 years late...

Why the hostility?