First time buyers with a twist

Mr_no_dough

Hi guys,

Me and my missus have our mortgage interview this week for our first flat, we have the AIP, We have the finances, the only thing is, we also now have a baby......

When the AIP was sorted we weren't pregnant, when we asked to renew it 3 months later, we were 3 months pregnant, they done it straight away without any questions as to if anything had changed (All done via email),The baby came 11 weeks early 2 weeks ago and we are going into the interview with seemingly nothing being different, My Mrs is fine and looks healthy, all payslips are in order and we have the deposit and finances to sustain mortgage payments.

My questions are...

1)Should we keep our mouths shut and act as if baby doesn't exist? Mrs has started her 6 weeks fully paid maternity but her last payslip doesn't show that as it was before all this.

2)If we drop that on the interview will it make a huuuge difference? we are borrowing on a 5% deposit

Thanks in advance for your help guys

Senior_Paper_Monitor

.... and then you provide (or they draw down - they can and do you know) a bank statement with CB showing ?????????

or - they want a later payslip

or - they take an employer's reference

(having presumably answered the application questions - any dependents - as no !) - technically an act of fraud.

Incidentally, has anyone told you kids are expensive ?

Thrugelmir

Doesn't matter what you said previously. Now is what matters. As far as a lender is concerned if you lie about one thing what else have you lied about when making the application. Would you lend thousands of pounds to someone that isn't truthful?

Applications are retained by National Hunter. Take a look.

https://www.nhunter.co.uk

missyp123

Please dont ignore the fact that your baby is going to make a huge..no MASSIVE difference to your finances.

As you can see from my signanture im an ex Bankrupt and i would say things started to fall apart for us when we had our first child. We had just moved into our house when fell pregnant (100% unplanned).

This in turn with my reduction in salary, husband loosing conract and Northern Rock collapse it was impossible.

Obviously im not saying all these things will happen to you, however you do need to be prepared for the hit in salary and overall cost of your baby too.

When we have used online calculaors for mortgages it does ask if you have any dependents so im guessing now baby is here you will and should declare this. Its possible this does affect the calculations.

Wishing you all the best with your new family.

evansc1

Keep it hidden if you're comfortable committing fraud....
Highly advise against not telling your bank the truth. Suspect you may have unknowingly lied already as your AIP will have been based on you telling the lender if your circumstances change at any time.

Can you actually (REALLY) afford the mortgage with now having a dependent? Like missyp123 says, it's a MASSIVE change, and one you've only just started to get accustomed to. Costs will keep going up month after month, especially when he is on solids!
Will your other half definitely be going back to work after her ML? Will it go down to part time as a large amount of returning mothers opt for?
Will you be able to afford mortgage and all other expenses with her on statutory maternity pay?

What if with all the future expenses and then childcare adding on top, interest rates increase to 7%, 10% or something of that nature (yes, could easily happen)? Can you still comfortably afford everything?

You need to be serious about it. Have a good think about whether or not now is a good time to be buying a home, especially with a new, new born.

On your second point, yes it really does make a massive difference.

Congratulations on your little one

MortgageMamma

Congratulations on your little one, from a purely non financial viewpoint are you sure you can handle the stress of moving house with a very premature baby? My niece was born at 30 weeks, I know how tough it can get. I know the emotions involved and lets face it buying a home or moving is one of lifes big stressful events. Your partner if faced with a move, a premature baby and the exhausting changes of becoming a mother for the first time could end up with post natal depression. I hope you don't think I'm talking out of turn, but I have four children and have a bit of experience so felt compelled to bring it up.


If you do decide to plough on, perhaps you should consider speaking to a broker, get an affordability assessment done, check you can afford what you want to borrow WITH a baby. There are lenders who do not penalise buyers when they have a baby, going on maternity leave etc. Just out of interest, which lender did you approach? And don't be afraid to put the purchase on the back burner for a while until you are settled with your newborn.


MM