Flexi-Furlough, will his affect my mortgage application?

JS21

It shouldn't have an effect unless you're earning significantly less, which you're not. Lenders are fully aware of the furlough scheme and that a lot of people have been affected by it/been a part of it at some point.

I was on full furlough for 4 months last year and then flexi-furlough (4 days full time, 1 day furloughed) which changed some weeks depending on the workload (e.g. 2 days on, 3 days off etc) as the company's clients started to return to them again, before i returned to full time work. I then started a new job elsewhere in December.

During the entire process I started house hunting and just let our mortgage broker know the situation. I had to provide all bank statements and payslips from Jan 2020 until now to show my salary pre-furlough and all the emails from my employer about going on furlough, how pay will be calculated, returning to work part time and the final one to confirm I would be back to work full-time as per my contract. When i started the new job i had to provide the page of my contract inc. my new salary and what the probation period was. As soon as I passed probation i forwarded the confirmation email to the broker who's put forward our mortgage application - no concerns at all and the broker has said that the lender didn't bat an eyelid to the furlough period as they're used to it now. We're expecting a confirmed offer hopefully by the end of next week! 

Just make sure to keep a record of all your bank statements, payslips and communications from your employer about furlough pay/working hours, return to work etc.

Mickygg

While people squabble over fraud or not fraud, yes having furlough on your pay slip can affect how much you can borrow.

I know this as one of my employees has asked to be taken off flexi furlough as their mortgage provider they want to use will not lend if furlough is on their most recent payslip. 

hazyjo

When I had a mortgage, I tried to extend by just ten grand or so (90% equity) and they wouldn't let me as I was furloughed.

I suppose for those furloughed, it may mean your job is at risk.

Some will lend, some won't.

teachfast

Mickygg said:

While people squabble over fraud or not fraud, yes having furlough on your pay slip can affect how much you can borrow.

I know this as one of my employees has asked to be taken off flexi furlough as their mortgage provider they want to use will not lend if furlough is on their most recent payslip. 

A more sanctimonious response I have yet to read on this forum. As one of the fraud 'squabblers' you'll see I already gave this response, but minus the touching personal credibility assertion. 

Navikate

I needed a months payslip with no flexi furlough on for our application