Mortgage application

antwilson

HI,

We have had an offer accepted on a house, and have being accepted in priniple for a mortgage.

My question is, my partner has just started a new job (within the same company - works for the local council) which is more money, but she is technically on a 1 month trial kind of thing. After the month, thats when she gets her contract.

Will this have an affect on a mortgage application? They will tell her in the next 2 weeks that she has the permanent position.

We know that shes going to carry on there, and its just a procedure they have to go through with everyone.

The mortgage is obviously going to take longer than 2 weeks, so will it cause a problem if we do apply now?

Do they also all check with employers anyway to check there working position?

antwilson

anybody??.... :beer:

rdsmortgageman

How long has she worked for the council for? I assume that this is just a change of position within the same employer?

homer_j_3

I would ask the question, what if the trial is not passed, where would she go?

It could be very unlikely but if she would return to another position that is fine, providing the income is still sufficient for mortgage purposes. I would get your OH to speak to their HR team and see what they would put on a reference also as that is what is important here.

If this position is to be confirmed within the next 2 weeks then I cannot see too many issues. Have you used a broker, are they aware of this?

antwilson

homer_j wrote: »

I would ask the question, what if the trial is not passed, where would she go?

It could be very unlikely but if she would return to another position that is fine, providing the income is still sufficient for mortgage purposes. I would get your OH to speak to their HR team and see what they would put on a reference also as that is what is important here.

If this position is to be confirmed within the next 2 weeks then I cannot see too many issues. Have you used a broker, are they aware of this?

Weve seen 4 - 2 were from a select panel (estate agents), one was with natwest, and the other was a whole of market.

The whole of market basically told us he couldnt do us anything which would be cheaper than going direct to places - so we have gone direct to halifax for a 5 year fix @ 6.39%, with fairly low fees.

I'll get her to speak to her HR dept and see what they see. Do all lenders check all employers, or is it just random checks, or do they just check 1 of us?

If she didnt succeed on the trial, she would go onto a list with first priority for any other jobs.

homer_j_3

I would ask HR but ultimately, if they say she is in probation, you need to ask halifax when they go for their employment refs to see whether timing will be an issue.

If it will be an issue, I would ask whether or not they would put a condition in the mortgage offer to state that job has to be permanent before completion and they will do another check later to confirm this.

It shouldnt be a massive hurdle for them or for you but you need to communicate with them and understand what fees are payable when and if they will be still due if you do not proceed.

antwilson

She has phoned HR and they have said that it depends on what is asked. If they just ask she works there, her role, her wage etc that will be fine - as the database tells them she is full time/permanent. If they ask anything about redundancy etc they will tell them she is on a 4 month probation period.

They also mentioned that it shouldnt matter anyway - as they have a backlog of mortgage references to complete. They said these probably wont get done until she is permanent anyway :eek: . Will this affect the mortgage or would it still be going through while they are waiting?

homer_j_3

so the initial information of being on a 1 month trial is irrelevant here. She is on a probationary period with 4 months left which may reduce the amount of people willing to lend.

antwilson

homer_j wrote: »

so the initial information of being on a 1 month trial is irrelevant here. She is on a probationary period with 4 months left which may reduce the amount of people willing to lend.

Sorry meant 4 weeks!!!

homer_j_3

ah ok.

Well refer to post 6 on here as to what you need to do. If a reference is sent there will be a question on there for whether job is permanent or not and details of any probationary period.

antwilson

Just an update -

the mortgage company phoned me this morning to go through the application. I told them about my partner being in probationary period, and she said it shouldnt make a difference as the funds wouldnt be released until after the trial is up anyway. she said she would change her employment status from full time to probationary, and if it asked anything else on top of what we had already answered, then we'd go from there. She put it in and it didnt ask anything. she said this must be because of my credit score, as its good enough that there not even going to write to our employers :rotfl:

So gone through with application, paid for survey and instructed solicitors, so just have to wait now?