Browse Forums Home Finance 1 Oct 13, 2009 1:11 pm Hi guys, I have a few queries... our mortgage has been set up (what ever the technical term is?)... everything has been approved, documents signed, loan payments made... Is there any issue we me cutting back my hours at work now? Basically instead of working full time, I work a 3 day week. Financially we can afford it, but I was wondering will the bank find out and somehow unapprove our already set up mortgage being it was approved on my full time wage as opposed to part time? Reason for me wanting to cut back is I want to spend more time supervising our build and more time with my family. Any advice would be greatly appreciated. Cheers!!! Re: Does a decrease in wage effect anything now? 2Oct 13, 2009 1:18 pm Well as far as I can see it's approved and what they don't know, won't hurt them. People's financial situations change all the time... that's just life!! We got our loan approved about 6 weeks before I had a baby and I pretty much gave up work for several months (self employed). Blog: http://bluemistkids.blogspot.com "Never be afraid to try something new. Remember, amateurs built the ark, and professionals built the Titanic." Re: Does a decrease in wage effect anything now? 3Oct 13, 2009 1:20 pm No need to even tell them the difference. If you can make your payments…that’s all that matters. Good luck to you, have fun!!! Internal and External Building and Colour Consultant Online - Worldwide http://www.denovoconcepts.com Re: Does a decrease in wage effect anything now? 4Oct 13, 2009 6:05 pm Lenders dont usually do any validation of income after documents have been signed and returned to them for a lend. However, should their be any issues during construction and a further increase is required in order to overcome this then you may need to have your income revalidated. Although these circumstances are rare there can be times where this is required. If you are in a position where you can go back to full time hours this would helpful to at least discuss with your workplace as an option in the coming months. Building contracts have some room built into them for variation in costs. But, things happen sometimes. So it may be best to have that chat with your boss now just in case. Rather than having to pull it all together on short notice if you do need to amend your lending. Trent Re: Does a decrease in wage effect anything now? 5Oct 13, 2009 6:32 pm Welcome Trent. Sounds good advice to me Where you are coming from is where you are going to... Re: Does a decrease in wage effect anything now? 6Oct 20, 2009 5:05 pm As long as they are still getting their money I assume that's all that matters. Re: Does a decrease in wage effect anything now? 7Oct 20, 2009 5:39 pm Well.. Sort of Dollar... As long as they are getting the repayments they dont start looking into anything... However, if anything does go wrong and ANYTHING needs to be reassessed they will call you on it. Owner Occupied properties are regulated facilities. As such, if the bank does not do their due diligence at the start of the loan and mitigate any adverse things in income etc. then later on down the track if someone defaults. And they can prove the bank did them a favour by overlooking something. A judge is within his power to write the loan off and let the clients keep their house without a debt etc.. The premise is that the bank helped the clients into a debt that they could never really afford (by the banks standards) therefore its the banks responsibility not the client. The client is just asking for a loan. In the above outlined scenario it should be noted that the clients in this case are aware of what is happening. So it is only right for the clients in this case to take 'reasonable' steps to reduce the risk to the bank.. Which if something goes wrong.. Goes a LONG way to helping your situation. Re: Does a decrease in wage effect anything now? 8Oct 25, 2009 4:24 pm If the loan has been advanced already then this is no problem. If the loan has not yet been advanced (construction drawdowns don't count) then it may be a problem depending on the lender. Westpac, CBA and ANZ unlikely to be an issue. Note sure for NAB or St George. I had an old shower unit that broke on me and when I took it off, there were only 2 water pipes, instead of the normal 2 water pipes and a shower head pipe. S o I… 0 34212 9 19160 This is one of the reasons I decided to go overseas for my double glazed windows. As the builder indicated, he's worked on many upmarket builds, these were the most well… 13 15091 |