Furlough and applying for a Mortgage.

RockOnZombies

We're looking at buying a new home together, we've had some advice off the Estate Agent that mortgage deals are falling through because people have been furloughed. Has anyone come across that yet? Spoken to existing provider and they've also said that furlough can affect whether your even eligible to apply. 

csgohan4

Thats where a broker can be useful to know which lender to apply for on your own circumstances

moneysavinghero

Are you still on furlough or back to work. If still on it, then its time to give yourself a pinch and snap yourself back to reality. You don't have a job and there is no guarantee you will still have one when the furlough ends. No one would want to lend a large sum of money to someone who has no means of paying it back.

Even if you are off furlough now, furloughed staff are the most likely to lose their jobs should their company decide to make lay offs in the future (you have already been identified as less essential than other workers).

Have you both been / still on furlough? Could you afford the repayments on one salary? What % deposit do you have?

MovingForwards

Have a read through a lot of the threads over the last few months and you will see lenders have pulled offers because of people on furlough, waited until someone is back at work and received their first full wage etc.

RockOnZombies

I never stopped work, I've been busier during the past months than u ever thought possible, I work for a Welsh LA. My other half is furloughed though and due to start back next month. 

RockOnZombies

moneysavinghero said:

Are you still on furlough or back to work. If still on it, then its time to give yourself a pinch and snap yourself back to reality. You don't have a job and there is no guarantee you will still have one when the furlough ends. No one would want to lend a large sum of money to someone who has no means of paying it back.

Even if you are off furlough now, furloughed staff are the most likely to lose their jobs should their company decide to make lay offs in the future (you have already been identified as less essential than other workers).

Have you both been / still on furlough? Could you afford the repayments on one salary? What % deposit do you have?

We at about 75% LTV on equity I already have and savings from the other half so pretty good position really, and could afford the repayments on my salary alone. 

robyn841

We were in this situation got offered a 90% LTV mortgage with Virgin. They just wanted to wait until my partner was back off furlough and had a wage slip without furlough on it. So might be a bit of waiting until she has proof she is back at work but would think you'll be ok.