Mortgages

[JJboo]

Weird question I’m a first time buyer and terrified of getting the house repossessed I was looking into reasons why and one said that they can take back their mortgage (after completion) (moved in) if you were to become unemployed? So if I was to loose my job or quit after completion can they take back the house even if I still pay the monthly mortgage payments?

As a rule if you continue paying with no delays - this is not something the banks do as in repossess your home.

How would they know you have become unemployed?

The mortgage company only knows there is a problem when you fail to pay the monthly installment.

Their business is based on having nice regular interest payments. If you are still making those payments, why would they repossess your home? Then they would have to go to the trouble of selling it, which they are generally not set up to do.

Research your lender, choose someone mainstream, check the terms before you sign and you'll be fine as long as you keep up the repayments.

If maybe your employer told them for example I’m suppose to go back to work as I’m on maternity and if I didn’t go back wouldn’t my employer tell them?

It’s Halifax we are going with and I can’t see anything about it but still worried as I don’t understand it

How would your employer know who your mortgage provider is?

This would not happen. The only thing an employer has to do with a mortgage is confirming your salary on application.

Why would your employer tell them anything? None of my employers know if I have a mortgage let alone who my mortgage provider is… it’s not something that is done.

Once you are in the house, no they won’t take it back if you become unemployed provided that you continue to make all monthly payments on time.

However up until the point of completion they can withdraw the offer if circumstances change, this is why it’s advised not to take any new finance out between mortgage offer & completion (which lots of people do especially when first time buyers, ordering sofa/bed/TV etc on finance), they can re-check at any time up until completion, but once you’re completed and moved in as long as you are making your payments they will not repossess your house.

Your employer would have to be a. Spiteful and b. Aware of who your mortgage was with.

With respect op, you're overthinking this. It's not that complicated. Pay your mortgage ever month and you will be fine.

Saw someone say that when they got a mortgage they told their lender they were going back to work and then said they had no intention of going back. If you were to say you were going back and then didn’t wouldn’t the lender know you haven’t gone back as your employer could tell them you haven’t and then would they take back the house as you haven’t done what you said you were. They were still paying the monthly mortgage with partners wage.

Repossession is always a last resort to mortgage providers, even after a few missed payments. It costs them time and money. As long as your paying your mortgage and have r lied on your application you will be absolutely fine. Most employers have no idea if you rent or own and certainly don’t go around contacting mortgage companies.

So my employer has to sent them an employment letter to say I was coming back and that had to be sent straight to Halifax so she knows who my lender is xx

Ok and do you think they're spiteful? Is there someone there who has it out for you and wants to ruin your life?

Well my boss isn’t the nicest… so I’d I wasn’t to go back to work I have no idea if she would tell them or not and I don’t know if the lenders would care if I went back or not but I’d still be able to pay the mortgage

As other people have said repossession is really a last resort thing for the banks as a rule. Read your terms and conditions. I don’t know in that specific case but it can be considered lying on your application as it does feel you have no intention of going back after your maternity leave ( sorry if I misinterpreted but to me that’s how it comes across) so technically they could pull your mortgage as you lied - but I’m not sure they would if you keep paying on time. I don’t think your employer would really let them know you’re not. They have to be really spiteful

Banks have no intention of repossession houses where a mortgage is being repaid and up to date.

The only time there would ever be a concern.id if the source of the repayment was considered illegal, i.e proceeds of crime

If you’ve explicitly lied on your mortgage application then that’s a very different situation.

I haven’t lied as I am going back but I’m thinking long term I have 6 months still of maternity leave and just thinking maybe in 6 months I might not want to go back yano like thinks change

Presumably you will come to remortgage at some stage. If you do not work and previously your salary was taken into account, you may no longer be able to remortgage.
Even then the bank couldn’t just repossess, you would effectively become a mortgage prisoner with an arbitrarily high rate of interest, which could really make it difficult.

The fixed rate is 5 years and by then my partner would be making more then what we would make together now.

No your employer can't tell your mortgage company.

So you'd only be at risk if you stopped paying.

I went back part time after my mat leave and never bothered telling them. Have re-mortgaged several times since and no issues.

You'll be fine. X

It would be pretty silly of your employer to have confirmed your going back as they have no way of knowing that.
What I suspect they said is, you’re currently employed but on mat leave and have a job to go back to.

I hope you're married/will be married soon because your putting yourself in a very precaution situation giving up work. I'd be far more worried about that than your house being repossessed because of random people becoming overly involved in your business.

Married and have a child x