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    HELP! Mortgage declined after 2 months...nearing exchange of contracts now!!
    • #1
    • 6th May 11, 11:09 PM
    HELP! Mortgage declined after 2 months...nearing exchange of contracts now!! 6th May 11 at 11:09 PM
    I hope someone maybe be able to advise me.

    I decided I wanted to move at the beginning of this year and got a 'mortgage in principle' with my current lender (Halifax). I put my current flat on market and got a buyer, so the ball started rolling then in mid-March. A few weeks later the Halifax decided to decline my offer based on the fact i am now self-employed and have been for only 1 year (this was all discussed at the time of obtaining my 'in principle' and the Halifax asked me to provide them with projected incomes etc. from my accountant which I did....which was all fine and led them to giving me an 'in pinciple').

    so then the Halifax suggested I get the application done in joint name with my dad and put the mortgage against his pension (he's got a very good pension) and my income would be classed as 0. The mortgage would be an interest-only over 2 years which would give me the time I needed to accrue the 3yrs audited accounts they wanted. I got another 'in principle' from this. They instructed a survey on the property I am buying (which was all 100% ok) and i paid over 500 for this.

    Another 4 weeks down the line (8 weeks now in total of being messed around by the halifax)....and they have just declined the 2nd attempt on the basis that I have too many 'clients' come to my home (I'm a nutritionist). I have excellent insurance in place to cover clients welfare etc. I hit the roof and said to halifax i didnt understand this reason as the mortgage was all against dad and his pension income so what did it matter what i did. I was told they had cross-referenced the 2nd application with the first and decided my business was 'commercial' in a residential property and therefore declined.

    I am so confused, angry and worried that I will not only lose the house I am 8 weeks into buying but also the mounting costs from my solicitor etc. The halifax have said they will refund me the survey cost.

    If I go to the HSBC where my parents and I have banked for at least 10-15yrs, will they know I have been declined for a halifax mortgage and therefore automatically decline me too. (ie will the halifax debacle blacken my credit rating with is currently 999). And do I have to even tell the HSBC about halifax declining me?

    Have i got any chance of getting a mortgage elsewhere quickly.

    please help advise me someone!!
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