Browse Forums Home Finance 1 Oct 12, 2014 3:32 am Hi I worked 'a fixed income 9-5 job' for a reputable company based in Wollongong. Secondly, I am in the process of building my house. In usual circumstances, you'll usually sign two separate contracts when you buy a house and land packaged home, one for the purchase of the land and the other to build your home, correct? My situation is different. I got my loan approved for the total amount ($410k) I needed to purchase the land and to build my new home. So it's not two different loans, everything in ONE loan. This means at the settlement of the loan, the lender pays the vendor for the land (less my deposit) and then retains enough money to pay to the builder as each stage of my home is completed. At each of these stages the builder is supposed to send me a request for payment and the lender pays it directly to them on my behalf. I have purchased my land already. They released $199k and the land is under my name now (yes I keep paying monthly repayments until my builder is ready to build). Then my builder started work and the lender got all the documents and issued me a letter saying "Congratulations, we are ready to make progress payments now. Send us the invoice as soon as you get it from the builder". NOW THE PROBLEM IS, ALL OF A SUDDEN I HAVE LOST MY JOB UNEXPECTEDLY. It might take a couple of months for me to find a new job. I cannot ask my builder to stop their work, they are about to issue their first invoice for the first progress payment. My question is, will this affect at all when they release the progress payments as the loan is fully approved now? I have enough money and can even work casually for a while to service the loan - no problem at all. On the other hand I think of starting my business as well (yeah i know it takes time to pick up - but meanwhile i can earn money in other ways as I am talented in so many ways such as doing DJs, Drama scripts etc etc). What do I do now? I know they are not checking that, or will they? Will I need a fixed job once again? Thanks everyone kindly for helping me out with your knowledge. I am very stressed out. Re: Construction Loan - All Approved BUT unexpected situatio 2Oct 12, 2014 8:45 am Wow. tricky situation. As far as disclosing your employment situation to lender, What does the 'fine print' say?. At this point, as long as they get agreed repayments, Im guessing there shouldn't be an issue. Northern Adelaide, Format Homes '16-'17 after failed Bondor OB Re: Construction Loan - All Approved BUT unexpected situatio 3Oct 12, 2014 8:50 am They won't check. It's been approved. Just give invoices from builder to bank and bank will draw down loan. Keep your mouth shut and work hard to get a new job and service loan. You have prob 6 months before the full draw down so won't be as much payments you will find the construction part might be interest only to so may help. But no they will not check employment your loan is approved Re: Construction Loan - All Approved BUT unexpected situatio 5Oct 14, 2014 6:00 am I'm in in similar situation. We are building a home and land package. Our land is still in council. We were pre approved a couple months back for our loan but my partner got made redundant. I asked my banker a what if situation. Basically because they have to get updated pay slips just before registration of our land if my wife has casual work still bringing in income, he said it shouldn't be a problem. Re: Construction Loan - All Approved BUT unexpected situatio 6Nov 10, 2014 8:10 pm Hi Joshua, generally once the loan is approved and settled (even if only partially) the bank doesn't re-check your employment - they don't want to be stuck with a half finished home any more than you do! The most important thing is to find some income so you can keep feeding yourselves and paying the loan - what a tricky spot, hope you're doing ok. Hi Jayjay, this often depends on the percentage you're borrowing & different lenders have different rules regarding casual income - if you get stuck get a broker onto it for you! Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building The biggest challenge will be if you take out a loan and then run out of money - you'll have an incomplete security and lenders do not like this so you can get stuck.… 2 13482 You might be able to apply to divert the sewer at your expense. In NSW you would contact a Water services co-ordinator and they would give you advice as to whether or not… 1 12893 If your patio is going to be 35 sqm then that's going to need Council Approval. The fact that they previously approved your 25sqm patio will be irelevant 1 2705 |