New employment impact on Mortgage application.

deano3

Hi All,

Looking at obtaining a Mortgage from Leeds Building Society, I think its likely my salary will be about sufficent for the amount required but it may be close. My wife has been working for the NHS for around 3 years but she has now started a position, still within the hosital but is now paid by an agency for the first 12 weeks. The job pays more which is why she accepted the job.

Can anyone advise what impact the said circumstances are likely to have if her salary is put forward on the application?

ACG

What does her contract say?
Is she employed by the NHS or the agency?

This will be the key.

deano3

ACG wrote: »

What does her contract say?
Is she employed by the NHS or the agency?

This will be the key.

Ive not seen the contract, but technically she is now employed by the agency howevr she has still been working at the hospital a number of years.

If the lender decides it is a new job does that mean she wont be considerd at all despite been working solid for the last 10 years or so?

ACG

It does, because she is now an agency worker and not employed by the NHS.

While she may have the same benefits technically they could get rid of her tomorrow and there would be no redundancy pay etc by the sounds of it.

If she is employed by the agency as you say you will really struggle getting a mortgage if you require her income to be taken into account.

deano3

ACG wrote: »

It does, because she is now an agency worker and not employed by the NHS.

While she may have the same benefits technically they could get rid of her tomorrow and there would be no redundancy pay etc by the sounds of it.

If she is employed by the agency as you say you will really struggle getting a mortgage if you require her income to be taken into account.

The job she is doing is a 12 month fixed term contract if that makes a difference?

anotherginger

Is she really paid more by the agency? Does she get a pension, sick pay, etc? Who will she be paid by after 12 weeks?

I think she may struggle to get a mortgage as she has basically started a new job which only lasts 12 months.

deano3

anotherginger wrote: »

Is she really paid more by the agency? Does she get a pension, sick pay, etc? Who will she be paid by after 12 weeks?

I think she may struggle to get a mortgage as she has basically started a new job which only lasts 12 months.

Yes its paid more because its a better job.

No she wont get sick pay etc but the NHS will employ direct after 12 weeks.

ACG

Your going to struggle.

If your intention is to go with leeds i would make sure you run the scenario by them before doing any credit searches/applications. I dont think they will accept it though if im being completely honest.

Rather than concentrating on a particular lender i would be looking at what is possible either on your income alone or using your wifes income as a contractor - there will be options but it will be a lot harder now than if your wife was in her previous job. I dont want to come across biased here but i would speak to a broker.

deano3

This is what Leeds say about it, whats your view?

Short Term Contracts
[FONT=Arial,Arial][FONT=Arial,Arial]Applicants who are employed on short-term contracts can be considered (under the following criteria) as long a the contract has been renewed at least once with the same employer or there is an established record of employment covering a minimum of 12 months within the same field of business.
[/FONT][/FONT]

deano3

deano3 wrote: »

This is what Leeds say about it, whats your view?

Short Term Contracts
[FONT=Arial,Arial][FONT=Arial,Arial]Applicants who are employed on short-term contracts can be considered (under the following criteria) as long a the contract has been renewed at least once with the same employer or there is an established record of employment covering a minimum of 12 months within the same field of business. [/FONT]
[/FONT]

Would qualify on this basis you think? As i said she's been at the hospital years.

kingstreet

Leeds won't do this.

I've just tried to do a teacher on a new one year contract (wef 01/09/2013) with a history of working as a teacher and Leeds said no. Not until the contract has been renewed at least once.

Mine was newbuild shared ownership and an absolute pain to place. I got it in the end, at 90%.