FTB Single Applicant?

firstbuyer · 23 March 2018 at 10:41PM

Evening - looking for some advice,

We do have a broker - but kind of pulling hair out bit as it seems like our broker has exhausted all options for us now...

Background info -

My credit history is very good and no issues
Partners history has 2 defaults that are settled, recent bounced direct debits & missed payments

We have so far applied for 3 high street lenders and been rejected because of partners history for 1 or more reasons. We have just been told we cannot apply for 3 of the brokers preferred adverse credit lenders because they do not accept buyers who are in their probation period (partner).

So were in a bit of a pickle and I'm thinking about applying for the mortgage on my own with H2B

Our deposit £34,000
H2B £48,000
House Value £240,000
65% ish LTV

Currently I am earning £35k with £100 a month cc bills, and £225 for a purchase hire car

Does anyone have any experience going alone? Thinking this might be our last option so any suggestions would be great!!

csgohan4 · 24 March 2018 at 8:17AM

any debts yourself?? The affordability is really at it's limits, especially with your commitments for the car.

crystalpinks · 24 March 2018 at 9:24AM

Try the help to buy affordability calculator, I would have thought you'd be a bit short, but I may be wrong

amnblog · 24 March 2018 at 10:14AM

I understand you are frustrated but going it alone is not going to work. Your Broker has experience in this field, you have none.

You are presenting to Lenders as new in a job and on probation (so no guaranteed employment), and unable to meet your credit bills or manage your Bank Account.

Time is your greatest weapon here and perhaps you should take a step back until you are confirmed in employment and paying your bills in full and on time.

Alter_ego · 24 March 2018 at 10:24AM

amnblog wrote: »

You are presenting to Lenders as new in a job and on probation (so no guaranteed employment), and unable to meet your credit bills or manage your Bank Account.

Seems to me that a single application would eliminate all the points you raise?

amnblog · 24 March 2018 at 10:38AM

Our poster does not earn enough for a single application, without other complications of such an approach.

enthusiasticsaver · 24 March 2018 at 12:36PM

So £158k mortgage on a £35k salary? I think you fail affordability as if you have credit card debts they take 5% of the total balance off your salary and the car will also be deducted. Depending on the total balance of your CC debts you may be judged as only having a £31k salary which falls a fair bit short of the normal 4 to 4.5 times multipliers. What does your broker say about a single application and is your partner happy to not have their name on property? Is the H2B affected if just you applying.

firstbuyer · 24 March 2018 at 2:19PM

Thanks for the replies

I've spoken to our broker who thinks I might have a good chance on my own I just need to cough up more deposit - which I have just needed to sweet talk parents!

We're now looking at a £49,000 deposit which brings our LTV to under 50%. £143k mortgage

In terms of H2B they're saying that we can state 33% of my partners earnings? Anyone know about this?

Thanks again

walkersneed · 24 March 2018 at 3:29PM

I have a salary slightly lower than yours, with loan repayments of £200 monthly, no credit card balance, and Natwest gave me a mortgage offer for £155,000, so slightly less than 4.85 x my income.

Perhaps look into RBS/Natwest? They seem to have a sliding scale of income multiples, with 4 x for a certain customer type, and 4.85 x for other customer types. Whereas TSB (for example) has a hard 4.5 x income multiple policy, as far as I can tell.

It was hard for me to find a lender that would offer 4.75x or 4.85x, as that's what I needed. I would suggest using lenders' affordability calculators for intermediaries as they seem to be very good at predicting how much they can lend, provided you input the correct information. But if you have a partner you may also want to read in full their lending criteria, as they may not be okay with having your partner in the house but not on the mortgage. So your options would be limited.

If you don't have the time to do the research on your own, perhaps finding a good broker to do the legwork would be a better idea. I am slightly neurotic and don't trust people to do the best job at finding me a good deal that fits my needs, but ymmv.

firstbuyer · 24 March 2018 at 6:20PM

Thanks for the reply.

Yeah I mean I am struggling leaving it in the brokers hand - just because I think I can do it all myself (even though I really couldn't:rotfl:)

I'm going to wait to speak to the broker when they're back in and try to get the application sorted on my own. They said it would be a good route to go down - just not sure where this would leave us with the property and if it affects ownership etc.

This has been informative anyway - thanks!

FTB Single Applicant?

Comments

Categories

Get our FREE Weekly email full of deals & guides - and it’s spam-free