So myself, my husband, and my mother are all going in on a new home together. We separately own two homes currently. We are taking out a mortgage to bridge the gap between moving into the new home and selling our old homes, but once the old homes are sold, we will have more than enough funds to completely pay off the mortgage (and plan to do so). In addition to that, we also separately have enough funds, between my mom’s retirement accounts/pensions and my husband income + our savings, to pay the mortgage indefinitely in case the home sales drag on longer than planned.
All this to say, I have recently discovered I’m pregnant. The plan has always been for me to ultimately become a stay-at-home mom, but of course I planned to continue working as long as possible, so we put down my income for the mortgage. I’m now suffering from pretty extreme morning sickness, so I’m now seriously regretting this, and wanting to accelerate the timeline in which I leave work. This is no issue from a financial standpoint, but my family is scared to even reach out to our loan officer to ask if it’s possible to re-run the numbers without my income, for fear it may make the mortgage seem risky. Is it worth even asking the question, or do I need to suck it up and find a way for the next 35 days?
Finn said:
The answer to your question will need to come from the loan officer – just shoot them a call and present the scenario to them
So you think it wouldn’t freak out the loan officer to ask the question? I think that’s my family’s biggest fear, that just asking the question would jeopardize the mortgage.
@Dale
No, it shouldn’t – it should be easy for them to answer your question – they can jump in your loan and take out your income and then let you know if the loan still qualifies. What would make the lender freak out is if you quit without asking, and they did the closing verification of employment and the employer states that you’re no longer there
First off - Congrats on your new little one! Lots of mixed emotions I’m sure with the home loan complicating life, but such is life.
PFML is not a disqualifier. You can get a loan and still use your income if you’re on PFML on temporary leave from your job. Lenders cannot discriminate against that whatsoever; however they will need clarification and more documentation. You will need a letter signed by your employer stating your expected return to work date (which confirms your leave is not “Permanant”. #1) I would discuss with your company HR and they’ll be able to share info on how you get signed up for PFML and what your compensation will be throughout. #2nd and simultaneously) Also contact your loan officer and discuss your options. As long as you can get a signed letter with return to work expected date from HR, even approximated and it explicitly mentions your continued compensation at X rate same as prior to going on leave, they can use that for underwriting based on your current income.
This life event scenario would not freak out your loan officer, or at least a good experienced one. “Things happen” and “Plans change” as I always said as an LO. What would freak out the Loan Officer are “surprises”. Open and honest communication they can surely work with, problem solve around, etc… No communication equals scrambling, stress for all, and higher chance for delays to your closing.
@Jody
Unfortunately I work for a super small company (fewer than 15 employees), so I’m not FMLA eligible and I could even be legally fired for being pregnant. I’m glad the consensus is that just asking won’t freak out the loan officer, we’re definitely going to ask about our options!
When is your settlement scheduled? No sick leave available? or maternity leave benefits worth trying to preserve?
The extreme morning sickness is no joke, your doctor is hopefully in tune with you and prescribing rest. IYKYK - this kind of sickness is not exclusive to mornings and is debilitating.
The urge to just quit must be extremely strong, you’re obviously really good at managing your money, and you may be leaving a lot of benefits on the table. Can you use up any sick leave or vacation/PTO and stay in bed for a couple weeks, then you could be entitled to short term disability, and maternity leave. When the benefits run out you can quit. That’s a lot of money to leave on the table.
Which of course when you’re leaning over the toilet for the 10th time in one day means nothing. You’d probably pay 10x as much to make it stop.
Congrats on the baby and the new house, sorry you’re dealing w/the HG, it’s awful.
@Zen
Unfortunately I work for a super small company (fewer than 15 employees), so I’m not FMLA eligible and I could even be legally fired for being pregnant. Only 2 days of PTO left, which probably will be used up quite shortly!
Why would it freak your loan officer out? They want the loan to happen as well. Just explain the situation and they’ll advise whether they think it will make the bank unlikely to approve.
Does your job not offer any sick leave or FMLA policies? No STD policy?
@Carmine
Unfortunately I work for a super small company (fewer than 15 employees), so I’m not FMLA eligible and I could even be legally fired for being pregnant. But I’m glad the consensus is that just asking the question won’t jeopardize the mortgage, we’re definitely going to check with the loan officer about our options!