Hi there
I'm not sure if this is the right place to post my question but hopefully someone may have some thoughts on our quandary!
my husband and I are about to be approved for a loan to buy a house..we think!. I am wanting to resign from my job and return to university. We can easily afford the loan on his income however our loan approval is based on both of our incomes. What I am wondering is should we wait until all of the paper work is done and dusted and the money is drawn down before I resign, maybe 2 weeks I think? Or can I resign as soon as the bank has said "yes" to finance? Are they likely to check employment status once the approval has been given? Or isit better to wait a few weeks?
Thank you for any help!
amelie
Personally I would wait to you have the funds even when banks approve loans if there are delays they can ask for current bank statements so if it is just a few weeks I would wait. Once you have the money it will only be an issue if you cannot repay it.
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
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I agree with Nigel. Couple weeks will not hurt. University doesn't start till march does it? So plenty of time.
Technically you're supposed to advise the lender of any known significant changes to your employment history when applying for finance. Some will (but not often) conduct employment checks after formal approval has been issued.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Thanks guys, I appreciate the advice. Yeah, my job really sux so I am wanting to give notice as soon as I can. But, I can hold off for a few weeks knowing it is coming to an end.
Thanks again
Don't do it until after settlement or you may face the risk of the loan being withdrawn.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Thanks Terry, so glad I asked this question, I was all armed to resign tomorrow!
Hi Spuddles
Can you just start uni now and try to juggle the job for a little longer at the same time? If it's only two weeks, it shouldn't be a problem. Maybe just ask for a bit of upaid leave for the time being.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi Spuddles,
Yes, only 2 more weeks just put your head down and work.
I know exactly how you feel, I feel like quitting my job tomorrow too but I need those pay slips to show the bank so I can continue investing in property.
YOU CAN DO IT.
Cheers
Andy
Thanks guys. Well if we get the approval today then I won't resign but if we don't, then I will resign tomorrow .
Cheers everyone, what a useful forum!
amelie
Hi Amelie
If the current bank doesn't approve it – it doesn't mean that no bank will approve it. Especially if you can afford the loan on your partners income alone.
Have you gone direct to a bank or are you using a broker? If you've gone direct, and they knock it back, then seek some advice from a decent broker about your options (because they'll have access to dozens of lenders).
If you're using a broker – they'll need to find out what the cause of the decline was and then place it with a lender who's policies are more conducive to your situation.
Fingers crossed all is good today though
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi Amelie,
Hope you are well?
Firstly welcome aboard and good luck with your new venture.
Like most have suggested, maybe just wait until you settled on the property and once you acutaly have the property in your hands maybe look at quting.
You say you hate your job and you want to quit? Rather than just rushing in quitting are you able to work part time and study full time in some sort of capacity?
Maybe use that “extra” income from part time work to help you reach your goals?
We live in interesting times, If your partner lost his job, Do you have enough surplus cash to live and to continue to invest?
Sorry If I sound a bit direct but so many people just quit before exploring all other options.
PS never advertise that you want to quit, you just never know who else might be on this site, EG your bank manger, work colleague
Jpcashflow | JP Financial Group
http://www.jpfinancialgroup.com.au
Email Me | Phone MeYour first port of call in finance :)
God advice, thanks. My studies will be doctoral so I should be eligible for a scholarship tax free but not possible to stay at current work and study.
Good advice about being cautious about what I say on here and who could be watching. I've taken measures to protect that but thanks for the consideration.
Some lenders now re-check your employment status just before settlement (ie they call the HR/Payroll department and check you are still employed there with no pending resignation). Wait till you've settled.
Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
Email Me | Phone MeVIC Buyers' Agents for investors, home buyers & SMSFs.
We got the finance! Woohoo!
Congrats Spuddles – that's great news!
Just don't forget what Terry mentioned above. You still need to settle first!
All the best with the property.
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
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