Handing in notice before Mortgage completion.. 25 November at 12:36PM in House Buying, Renting & Selling 41 replies 2.3K views

LLL144

Hello!
Me and my husband have just had our official mortgage offer and are looking to complete for our house in January.
The mortgage offer is based on both of our full time salaries, but the plan has been for me to quit my job and focus on having IVF as soon as possible.
Now we have secured the deal I was hoping to hand my notice in after exchange in the next few weeks. 
I am desperate to start the process of IVF as you can imagine but am now worrying if I give my notice in too soon will it jeopardise the mortgage? Will they even know? I will have to work a months notice.. Would appreciate your thoughts on this    

owenjt

My understanding is that if you resigned from your job before exchange then you must notify your mortgage provider. Once you've exchanged and the house is legally yours, you can resign and they don't need to know.

Marvel1

owenjt said:

My understanding is that if you resigned from your job before exchange then you must notify your mortgage provider. Once you've exchanged and the house is legally yours, you can resign and they don't need to know.

The mortgage is not released on exchange.

980233

owenjt said:

My understanding is that if you resigned from your job before exchange then you must notify your mortgage provider. Once you've exchanged and the house is legally yours, you can resign and they don't need to know.

Completed.

theartfullodger

owenjt said:

My understanding is that if you resigned from your job before exchange then you must notify your mortgage provider. Once you've exchanged and the house is legally yours, you can resign and they don't need to know.

That may or may not be the case, would depend on exact terms of THAT mortgage product from THAT lender.

Understand should read completed

brett19852010

If the bank are lending based on your salary then surely you'd need to inform them of your intentions to resign. 

andy444

You have an Agreement in Principle. That is different to a full mortgage being released at completion. The AIP provided was under the belief that there will be two incomes at the time of completion. It's up to you whether you think anyone will find out but to leave your job before the mortgage commences would make your mortgage claim fraudulent.

lookstraightahead

andy444 said:

You have an Agreement in Principle. That is different to a full mortgage being released at completion. The AIP provided was under the belief that there will be two incomes at the time of completion. It's up to you whether you think anyone will find out but to leave your job before the mortgage commences would make your mortgage claim fraudulent.

Agree with this.

You've also not secured a deal, and also what if this current buy falls through? 

LLL144

andy444 said:

You have an Agreement in Principle. That is different to a full mortgage being released at completion. The AIP provided was under the belief that there will be two incomes at the time of completion. It's up to you whether you think anyone will find out but to leave your job before the mortgage commences would make your mortgage claim fraudulent.

We have an official offer but I understand the money wont be released until completion. I would not of course want to commit a fraudulent act but technically I would still be working there as I would be working my notice?
Do I need to inform the lender after completion about my change of circumstances although we will have no problem making the repayments? 

Drawingaline

After completion no. Wait until then.

Niv

I believe you are obliged to inform the mortgage company on any change of circumstance before completion (after completion would depend on the T&Cs). Working your notice is a change of circumstance.