We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Fiance will be furloughed, I am key worker, mortgage just approved... should we pull out?
Options

FTBMish
Posts: 37 Forumite

Lockdown 2.....
I earn 36680 and won't be impacted by the lockdown, my fiance earns 27000 which will reduce by 1/3 due to the industry he works in closing so he will be on the new job support scheme.
Our mortgage with Santander has just been approved however am I right in thinking it is likely to be pulled due to the furlough? (Furlough being an automatic decline?) They are aware he was furloughed before and went back to work in July.
My worry is if we don't pull out, the house will be finished and we will lose the mortgage but be financially liable.
The mortgage we had approved was 3.3 times our combined salaries. With his drop in income that would need to be 3.85 times our combined salaries.
Do you think its safest to pull out? No idea what is for the best
I earn 36680 and won't be impacted by the lockdown, my fiance earns 27000 which will reduce by 1/3 due to the industry he works in closing so he will be on the new job support scheme.
Our mortgage with Santander has just been approved however am I right in thinking it is likely to be pulled due to the furlough? (Furlough being an automatic decline?) They are aware he was furloughed before and went back to work in July.
My worry is if we don't pull out, the house will be finished and we will lose the mortgage but be financially liable.
The mortgage we had approved was 3.3 times our combined salaries. With his drop in income that would need to be 3.85 times our combined salaries.
Do you think its safest to pull out? No idea what is for the best
0
Comments
-
Can you afford morgage payments and bills? If so why pull out?0
-
Do you still want, and feel financially secure, to buy the house?You will need to inform lender of furlough - before pulling out why not see what they say (and speak to broker first if you are using one)?I assume you haven’t exchanged - until then you won’t be financially liable for house.2
-
Key question is have you exchanged.0
-
gwynlas said:Can you afford morgage payments and bills? If so why pull out?
No other debts to pay, just car lease and finance which was already accounted for.
I was under the impression that furlough would mean it would be pulled anyway. Perhaps I am wrong this is my first time buying and this whole scenario is odd isn't it0 -
grumiofoundation said:Do you still want, and feel financially secure, to buy the house?You will need to inform lender of furlough - before pulling out why not see what they say (and speak to broker first if you are using one)?I assume you haven’t exchanged - until then you won’t be financially liable for house.
Keeping fingers crossed.0 -
Good you have not exchanged as that would have been a problem.
Hopefully broker will be able to offer some help although it is possible you won't meet the lending criteria based on your new situation. At least if you confirm that is the case you can decide to stop any activity by your solicitor which would incur additional costs.2 -
Ask for exchange and completion on the same day to take the risk out of it. It’s very risky if you don’t do this.You’ll have to inform the lender of the change in circumstances.2
-
Am I right in thinking this is a new house ? I see these as danger areas because unlike buying a second hand house whereby you can exchange and complete on the same day, the builder will require an exchange possibly well before completion. In fact depending on the build, it may only contain a long stop date ( latest date completion must take place )
So you would effectively exchange, hand over your 10% deposit, and then wait at the mercy of Covid and the Gov for whatever damage happens to the economy and your jobs. Personally its a worry I would not want to sit on that could take months if the house is in its early stages.Any change from application, through to offer, through to completion should be notified to the lender and they COULD pull the mortgage offer. Hence the strategy to exchange / complete same day.1 -
Densol said:Am I right in thinking this is a new house ? I see these as danger areas because unlike buying a second hand house whereby you can exchange and complete on the same day, the builder will require an exchange possibly well before completion. In fact depending on the build, it may only contain a long stop date ( latest date completion must take place )
So you would effectively exchange, hand over your 10% deposit, and then wait at the mercy of Covid and the Gov for whatever damage happens to the economy and your jobs. Personally its a worry I would not want to sit on that could take months if the house is in its early stages.Any change from application, through to offer, through to completion should be notified to the lender and they COULD pull the mortgage offer. Hence the strategy to exchange / complete same day.
0
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.9K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.5K Spending & Discounts
- 243.9K Work, Benefits & Business
- 598.8K Mortgages, Homes & Bills
- 176.9K Life & Family
- 257.2K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards