Change of Employment - Mortgage Offer

drizzle1106

Hi All,

Recently received a mortgage offer, happy to say the least.. however I've been offered a job at a completely different company & position but for a bigger salary than I'm currently on. I've read through a couple threads on here but wanted to voice my own situation as feel it's slightly different. I've had to acquire a return to work letter from my current employer to secure the mortgage offer - which looks like it will be slightly inaccurate in terms of the return to work(full time) date but remains to be seen as of yet, wondering if the bank will check on this on the first pay slip after said return to work date? If I change my employment now, I go full time again and on a higher salary, however it's a new position so seen to be high risk - AND if the bank checks on the return to work period and I've with a new company without me informing them, is a bigger issue. either way I'm in a pickle if they decide to check up that I've gone back to work (do banks do this, or are they generally happy once issued a mortgage offer)

Bearing in mind we are coming out of a crisis with the housing market where they are trying to kickstart it and get through a backlog of applications.

I would rather not inform them of said job change and as far as affordability goes it's even better for me, but worried at the same time if I don't and I potentially go for this move and they check, it'll leave me in a worse position.

All thoughts welcomed.

Thanks.

tim_london

As part of the mortgage offer there will be a condition to inform them about any circumstantial changes to income, specifically to employment.  All banks are different, so do check but it is likely to be there.  Whether they will check or not is not a matter of debate.  

Lenders don't have an exhaustive list of positions, it feels like you are worrying too much about the perception of job risk.  What is the job if you don't mind sharing?  

Also what is the expected exchange/completion date and what is your notice period?

drizzle1106

Appreciate the response. 

I’m aware of that condition - for me, it’s one of them... the outcome is the same if not better, so maybe I don’t let anybody know and rock the boat (only as far as up to exchange contracts goes and then inform) 

I’ll be moving to an associate director position. 

Exchange around October, completion around March and I’ve got a weeks notice at present job. 

csgohan4

they can and will check. If they ask for your payslips and they don't match, what are you going to do? It is better to come from you than they find out. It could be construed as fraud regardless if salary is higher as you willingly chose to deceive them. 

Lender's criteria changes all the time, you might be eligble now, but in the future who knows. Who could have foreseen 95% mortgages being taken off  the market in the volume they have

mortgagetakingages

Tell them. If it is a problem to the lender it is their problem to have and if you don't tell them and they find out you may have your mortgage getting pulled after exchanging contracts and being legally committed

drizzle1106

Cheers all. - Fine to tell them and let them know, in terms of affordability it's not a problem. I just wondered prior to exchanging if anyone had an idea on how the banks would view this and if it was better to wait until the contracts are exchanged and then make the move.

adrian84

In my opinion that would be fraud and a marker put and offer withdrawn.  In the formal writting in the offer it states that you should notify of any circumstances change, if you fail to do that and you wait 2 3 4 months that would breach this and you would also risk to be caught by them asking for payslip before you telling.