Job change before mortgage approval?

kilby_007

We're in the process of negotiating on a couple of houses and we want to complete as soon as possible.

We've got a mortgage in principle but I have just accepted a job offer (not yet in writing but probably towards the end of next week). That means I might be moving jobs before completion. In fact it is highly likely, because they want me to start on 17th June so that only gives 3 weeks from now to complete.

The job I'm taking is a contract job but I will be PAYE through an external company so it will look like I am working for them. In Jan/Feb I will then possibly be looking at a staff job in the same role at the same company.

So, what is likely to happen? Will they need 3 months worth of wage slips from the same company? Is so then I will be looking at September before we can complete...

monty-doggy

You say 'we' has your partner been in their job a long time?, if not it might go against you if the lender wants employment references. They payslips shouldn't matter, it's more the referencing.

kingstreet

kilby_007 wrote: »

The job I'm taking is a contract job but I will be PAYE through an external company so it will look like I am working for them. In Jan/Feb I will then possibly be looking at a staff job in the same role at the same company

This may be a problem. It depends on how you can answer the questions on the application.

kilby_007

monty-doggy wrote: »

You say 'we' has your partner been in their job a long time?, if not it might go against you if the lender wants employment references. They payslips shouldn't matter, it's more the referencing.

She's a teacher and she's been in her job for 4 years. So it's definitely secure. I've always changed jobs every few years. I work in the gas industry where demand for people is high and movement/promotion happens frequently.

kilby_007

Do mortgage lenders usually contact your employer? I just checked the documentation that came with our mortgage offer and all it says is that for the full application I will need the past 1 month or 2 weeks wage slips. It does say that they will request references from employers/landlords "where applicable" but bearing in mind we both have very good credit scores (we both have had credit, but always paid in time/in full - no "bad" credit).

My salary will be the same anyway as what I told them before I took the job offer. So, they won't necessarily know that I've just started employment with a new company... what kind of questions do they ask on the mortgage application?

kingstreet

Is position permanent, temporary, fixed term contract?

Length of employment?

Probationary period?

These are the usual questions.

kilby_007

kingstreet wrote: »

Is position permanent, temporary, fixed term contract?

Length of employment?

Probationary period?

These are the usual questions.

Well, it's a long term sub-contract (i.e. there is no end date). They need to grow their team and I am the first person being drafted in. There is no probationary period, technically they can get rid of me with a months notice but the chances of that happening are extremely low, unless I seriously underperform.

kingstreet

These are the questions asked on application forms, to which you will need to provide an answer which is acceptable to the person who will decide on the outcome of your application.

As a broker, I would establish the exact position and the lender's position before I submitted an application. So use a broker, or you're going to have to study lender criteria yourself.