Change of circumstances – should I tell my lender?

Change of circumstances – should I tell my lender?

11:16 AM, 24th September 2014, About 10 years ago 3

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I’m a landlord with 10 mortgages that I’ve had over the last 10 years or so, plus I also work full time. Change of circumstances - should I tell the lender

My question is; I have recently changed jobs and my income has changed, do I need to inform my buy to let lenders of my change in circumstances?

I suspect I probably don’t, and my income is still enough to cover the minimum required for the buy to let’s but in order to keep things prim and proper should I tell the lenders about my new employer and income?



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Mark Alexander - Founder of Property118

11:21 AM, 24th September 2014, About 10 years ago

Hi Rob

It would be highly unusual to find a condition in a mortgage offer whereby disclosure of change of employment needs to be declared. Such a condition may appear in a business loan or overdraft contract but again it's highly unlikely.


21:32 PM, 24th September 2014, About 10 years ago


I agree that there is very little likelihood of any lender including a clause to require regular income change notifications - let's face it, they'd be swamped with paperwork as most people get pay increases each year as well as changing jobs on differing salaries, perks instead of cash, etc.

The declaration of income is a due diligence requirement to assess if the borrower is capable of the repayments "at the time of application" (a bit like your car's MOT and your landlords gas safety cert is only actually valid on the day it is done, not for the entire year) and is the lender's "get out of jail free" card in case the financial authorities investigate them. Once the loan has been advanced the regular repayments demonstrate the buyers ability to repay and as far as the lenders are concerned, as long as you keep up with repayments there are many more mugs out there to fleece, so they couldn't give a rats behind, unless of course they can extract more money out of us..... The exact reason lenders require us to notify them if we rent out our own home - commercial mortgages are charged at a higher rate (in general)...., yippeeeeee, more bonus for bankers.


Industry Observer

10:50 AM, 27th September 2014, About 10 years ago

NO - without any doubt do not say anything

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