applying for a mortgage after youve started building.

C

choccichip

Guest
i'm in the process of changing jobs. I,m going from one permanent job to another but my salary will change. If i apply for a mortgage now it is likely that the application will get overly complicated so i plan to wait a couple of months till im transferred and can get pay slips, salary certs etc which will reflect new income. We have 180000.00 in savings and plan to apply for a mortgage of 150000 to complete the build. My question is can you start building and then apply for a mortgage later as we are anxious to get started. I know the obvious risk is that we might get refused...but that aside, will having already started the build make the application more complicated. Essentially we could get a substantial portion of it built before looking for finance.
 
Hi,
Firstly even if you change jobs and get more pay you will not get a mortgage until your probationary period is over - moving from one permanent job to another means nothing. One option is to see if your new employer will wave your probationary period. Also some banks / building societies require you to be in a job for 6 months or a year before granting a mortgage so just check that out as well - the application process is getting tighter and tighter and rates are also going up - take that into consideration as drawing down in 12 months could mean another couple of rate rises which could hit you even further. My advice is that unless your pay will increase substantially or if you know it will be after your probationary period then look at getting the mortgage first.
Regards
Mike
 
Thats a bit painful...my new job will actually involve a decrease in salary of approx 8000 in the short term but has better prospects in the long term...i work in the public sector so while i'm changing jobs i'm not changing employer as such, i wonder will this make a difference...It's a change i need to make now as this opportunity will not come up again...it also involves a necessary relocation closer to the area where i plan to build...I am due to move jobs in a month so not enough time really to apply to a bank for mortgage as by the time their half way through processing i will have changed jobs...My current hr dept will be unlikely to sign a salary cert while i'm working my notice period with them.
 
You must log in or register to reply here.
Back
Top