Advice

paulashek

Hey everyone was looking for some advice.

We are currently in the process of purchasing a new build everything agreed with builder etc. sent everything to IFA to get mortgage application started, my husband has been dealing with them. My husband is on a fixed term contract due up in June but is being extended for another year problem is he has never told the iFA the nature of his contract. The mortgage application is going to nationwide will this affect their decision?

Paula

The_J

Where a job is only for a set period, although the contract may be renewed or extended. You should always check if your client is on a fixed term contract. If they are, please provide the following information with the application which the mortgage approver will use to assess the likelihood of continued further employment.
-length of time with current employer;
-if the contract has been renewed before;
-remaining term of the current contract;
-if the current contract is likely to be renewed and, if so, for how long;
-the prospects of obtaining alternative employment in the same type of work at a similar salary
-whether the contract is connected to a specific project

At least a 12 month track record of working on this basis is required.

This is the Nationwide criteria for fixed term contracts. 12 months history with likely extension in the future tbc'd by employer. Sounds like you have the latter sorted but potentially the 12 month history could be a problem?

paulashek

He will have been working with the same company for a year when his contract comes to an end and still has his previous contract to prove this as well as his employer and this is who is going to extend him. He is phoning IFA to tell them that he is FT don't want to without information from them.

The_J

Nationwide will have to take a view on this but I believe you should have a good chance.

Best to be honest, otherwise if they found out they would assume you lied and give you no flexibility at all.

paulashek

Hopefully as he has another year to go that they will be ok with this!! Thanks for your reply

Thrugelmir

paulashek wrote: »

He is phoning IFA to tell them that he is FT don't want to without information from them.

Don't say that your partner is FT when its not the case. That's misrepresentation and a false declaration. A big no no.

paulashek

I don't understand what u mean he is on a fixed term
Contract phoned IFA to tell them so how is that being false? Surely telling them before app goes in surely that's the correct thing to do?

Thrugelmir

Normally FT means full time not fixed term.

Is that where the confusion lies?

paulashek

Sorry ye I meant fixed term as mentioned in my first post