Husband may lose his job - should we still go ahead with the purchase?

concernedwife

Hi there. I'm new to the forum, but have been a long time lurker, so hope I can get some helpful opinions from you guys. Apologies in advance for the novel which follows.

My husband and I are in the process of buying a house. Everything's ready, we're just waiting for some outstanding enquiries of the vendor and then we should be ready to exchange by the end of February. We're first time buyers and currently living in a rented flat.

My husband has had some issues at work for a while, and has been working hard towards fixing them. Essentially, it boils down to ensuring his paperwork is in order and he also needs to be more assertive with service users. He had a meeting with his supervisor last week, who told him that most of the issues were well on the way to being sorted, but there is one matter he didn't discuss with her and should have done. He thought he had spoken to her about it, but she doesn't have any notes on it, so says he didn't.

This is now being referred to an internal tribunal. He's been told that their options will be either 1. Do nothing 2. Redeployment or 3. Dismissal.

I've told him that I'm glad he is able to talk to me about this, and whatever happens we'll get through it. He's said that if it goes badly he's prepared to hand in his notice anyway and has started looking for other jobs. My worry is that obviously with the market being what it is, he may not find something immediately and I don't know what kind of a reference his supervisor might give.

We can very comfortably live on my salary (which is more than his anyway) in our flat. The problem is that if/when we move the outgoings will be increasing - we're upsizing quite substantially, and the mortgage repayments will be about 1 1/2 times what the rent is at the moment. We did some sums yesterday and we would be able to do it if we cut back on some non-essentials, but we wouldn't have a lot leftover for emergency savings. We do have quite a hefty credit card allowance which we don't use, which could tide us over temporarily if something unexpected came up. He's said that he could approach his parents if he needed to (and I know they'd help out in any way they could), but they've not got a lot (I'm pretty sure that we actually earn more than they do), and the idea of asking for help also goes against the grain because we've always done everything ourselves. Ditto for my folks.

I just don't know whether we should go ahead and exchange on this house before we know what's going on. He doesn't know how long it will be before this tribunal happens. We don't want to lose the house, and we've obviously already incurred all sorts of expenditure for searches, surveys, solicitors etc which we'd have to incur again if we pulled out and looked for something else. Additionally, our flat has a massive damp problem (caused by a leaky roof which the landlord isn't dealing with) which is affecting my asthma, so I really cannot wait to get out of here.

I don't think he's likely to lose his job, though it is a possibility. Even if he does, or if he decides to leave, I'm sure he will get another job eventually. It's just coping with that interim period if we have to.

I suppose my problem is that, even though we could pay for everything on my salary, I've always had enough leftover to comfortably save every month (our savings are inevitably all going into the house deposit). It's not that we'd be destitute, and I do count myself as very fortunate that it's not a case of checking that we would have enough money to eat and heat the house, but being worried about emergencies that might not happen.

Thanks very much in advance for your thoughts.

moneyistooshorttomention

Personally, in your circumstances, I'd go for it and proceed with the house purchase.

You've put in the money/work to do so and it would be a shame to waste that.

You say you can afford it, even if no income comes in from your husband for a while.

I would be making it plain, however, to hubbie that he wasn't to hand in his notice without another job to go to and was to try and get his current job sorted out to keep it (ie at least unless and until he can find another one).

I'd also be making it plain that, if he lost his job in a way not of his doing then, of course, I would back him until he got another one BUT I would be expecting him to "pull his weight" on the household front and he would be doing all the housework etc whilst he didn't have a job and I did, as I certainly wouldn't come back from work and put in a "second shift" if there was someone else in the house without a job and just doing what they wanted all day.

"I'm sure he would get another job eventually" sounds like optimism, rather than realism, and I'm wondering if those are his words, rather than yours. Getting another job isn't that easy - hence you literally cant afford to think like that. Hope for the best and plan for the worst - just in case.

edinburgher

You also have to consider that he will be hard put upon to get another job where he has been dismissed from his previous one. A lot of humble pie will need to be eaten, he may need to go for more entry level roles etc. Not a good situation, I hope it works out for you both.

pinky28

If you can afford it by cutting back just do it. We have waited till my SO got sorted and I wish we hadn't now to be honest. Missed too many good deals :-(
Good luck!

tom9980

Do it but cut your outgoings now just need in case it does go pear shaped.

jamesd

concernedwife wrote: »

My husband has had some issues at work for a while, and has been working hard towards fixing them. Essentially, it boils down to ensuring his paperwork is in order and he also needs to be more assertive with service users. He had a meeting with his supervisor last week, who told him that most of the issues were well on the way to being sorted, but there is one matter he didn't discuss with her and should have done. He thought he had spoken to her about it, but she doesn't have any notes on it, so says he didn't.

This is now being referred to an internal tribunal. He's been told that their options will be either 1. Do nothing 2. Redeployment or 3. Dismissal.

What did your mortgage lender say when you told them about this? Are they still willing to lend? Would they be willing to lend based on only your own income?

Just in case you didn't know it, you're obliged to inform them of material changes in circumstances before completion.

Don't exchange contracts until this is resolved. Losing the deposit if the mortgage lender refuses to continue with lending would be a very expensive problem.

MisterB1959

NO, NO and NO !!


you will put yourselves under far too much pressure - there is always another home !!! in fact lots of them LOL

zarf2007

concernedwife wrote: »

Hi there. I'm new to the forum, but have been a long time lurker, so hope I can get some helpful opinions from you guys. Apologies in advance for the novel which follows.

My husband and I are in the process of buying a house. Everything's ready, we're just waiting for some outstanding enquiries of the vendor and then we should be ready to exchange by the end of February. We're first time buyers and currently living in a rented flat.

My husband has had some issues at work for a while, and has been working hard towards fixing them. Essentially, it boils down to ensuring his paperwork is in order and he also needs to be more assertive with service users. He had a meeting with his supervisor last week, who told him that most of the issues were well on the way to being sorted, but there is one matter he didn't discuss with her and should have done. He thought he had spoken to her about it, but she doesn't have any notes on it, so says he didn't.

This is now being referred to an internal tribunal. He's been told that their options will be either 1. Do nothing 2. Redeployment or 3. Dismissal.

I've told him that I'm glad he is able to talk to me about this, and whatever happens we'll get through it. He's said that if it goes badly he's prepared to hand in his notice anyway and has started looking for other jobs. My worry is that obviously with the market being what it is, he may not find something immediately and I don't know what kind of a reference his supervisor might give.

We can very comfortably live on my salary (which is more than his anyway) in our flat. The problem is that if/when we move the outgoings will be increasing - we're upsizing quite substantially, and the mortgage repayments will be about 1 1/2 times what the rent is at the moment. We did some sums yesterday and we would be able to do it if we cut back on some non-essentials, but we wouldn't have a lot leftover for emergency savings. We do have quite a hefty credit card allowance which we don't use, which could tide us over temporarily if something unexpected came up. He's said that he could approach his parents if he needed to (and I know they'd help out in any way they could), but they've not got a lot (I'm pretty sure that we actually earn more than they do), and the idea of asking for help also goes against the grain because we've always done everything ourselves. Ditto for my folks.

I just don't know whether we should go ahead and exchange on this house before we know what's going on. He doesn't know how long it will be before this tribunal happens. We don't want to lose the house, and we've obviously already incurred all sorts of expenditure for searches, surveys, solicitors etc which we'd have to incur again if we pulled out and looked for something else. Additionally, our flat has a massive damp problem (caused by a leaky roof which the landlord isn't dealing with) which is affecting my asthma, so I really cannot wait to get out of here.

I don't think he's likely to lose his job, though it is a possibility. Even if he does, or if he decides to leave, I'm sure he will get another job eventually. It's just coping with that interim period if we have to.

I suppose my problem is that, even though we could pay for everything on my salary, I've always had enough leftover to comfortably save every month (our savings are inevitably all going into the house deposit). It's not that we'd be destitute, and I do count myself as very fortunate that it's not a case of checking that we would have enough money to eat and heat the house, but being worried about emergencies that might not happen.

Thanks very much in advance for your thoughts.

Seriously, ignore the losers who are advising not to do it. If you stay where you are your health will suffer. What would happen if that then affected your job? Plenty of people have a credit card for emergencies...just tighten your belt now and go for it. There's no reward without taking some risks in life.

And as there has been no material change to your circumstances & there is unlikely to be, there is no need to mention it to the lender.

captain747

Probably worth taking the plunge, but just don't end up like this couple on daily mail..

I'll get my coat..

Tigsteroonie

If you think that you would be able to afford it with only cutting back on non-essentials and regular saving, then go for it. If you need to cut back on essentials, think again.

There are an awful lot of people out there who have to cut their essentials to afford a mortgage. You're lucky.

bouicca21

When I was starting out the only way to get anywhere in London was to cut outgoings to the bone. I think it's much the same for FTBs today. It was also the case that renting cost more than a mortgage, which I suspect is also still true.

So I don't see any alternative but to go for it, irrespective of the part of the country you are in. Buying a place is always going to be tough, but it will ease out. And for once I find myself in total agreement with Money. He doesn't quit till he's got something else and if he does end up unemployed he does the complete house husband bit.