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Tier 1 Visa + Mortgage application

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Nanz
Nanz Posts: 7 Forumite
in Mortgages & endowments
Hi there

I am looking for some advise on Mortgages as my current bank HSBC have turned down my application for a mortgage as I am on a Tier 1 Visa.

My Tier 1 expires at the end of 2012, and after that I can apply for Indefinite leave to remain.

Does anyone know of any banks that would be more accommodating to my current status.

Between me and my wife, we have a very good joint income and would only be looking for a 70% LTV, I would think that in this case that I am a low risk client, however that seems not to be the case.

Any help here would be much appreciated.
«134567

Comments

  • sdd7677
    sdd7677 Posts: 128 Forumite
    I think it depend on lender's cicumstances and criteria.
    I was in similar situation as you (had no ILR) when i applied for my mortgage in 2007(just before credit crisis) for 80% LTV and everything gone fine. They offered mortgage straightaway on the spot. I think you should go to the good broker who will be able to help you. I don't see any problem with 70% LTV unless and untill other documents (bank statement, permenent jobs etc) are fine. PM me if you need more help
  • vacheron
    vacheron Posts: 2,178 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    We applied to Barclays for our mortgage last year while my wife was also on Tier 1 and we seemed to be accepted without any problems. That said although we applied for a joint mortgage I asked for the affordabilty calculations to be performed on my income alone as she was between jobs at the time so that may have made things a bit simpler.

    Is your wife also subject to immigration control or is she settled / UK citizen? Would the above also be possible in your case?

    Did they expalin what their concen was? The main risk I can see would be that in the hopefully remote scenario that your ILR application is declined you may leave the UK thereby exposing them to the risk that they will be unable to pursue you for liability?
    • The rich buy assets.
    • The poor only have expenses.
    • The middle class buy liabilities they think are assets.
    Robert T. Kiyosaki
  • Nanz
    Nanz Posts: 7 Forumite
    vacheron wrote: »
    Is your wife also subject to immigration control or is she settled / UK citizen? Would the above also be possible in your case?

    Did they expalin what their concen was? The main risk I can see would be that in the hopefully remote scenario that your ILR application is declined you may leave the UK thereby exposing them to the risk that they will be unable to pursue you for liability?

    Yes my wife is also on a Tier 1, an expires a few months before mine, she will then apply for ILR.

    Basically they told me that HSBC does not approve mortgages to customers on Visa's.

    I do understand from their point of view the risk they may have to take, however I would think that having a sizeable deposit sitting in their bank account would at least give me some benefit.
  • Lemoni
    Lemoni Posts: 1 Newbie
    Hello Nanz,

    I was wondering whether you have spoken to any lenders other than HSBC since? Anyone happy lending to Tier 1 people? We are in a similar situation... Thank you.

    Lemoni
  • Nanz
    Nanz Posts: 7 Forumite
    Lemoni wrote: »
    Hello Nanz,

    I was wondering whether you have spoken to any lenders other than HSBC since? Anyone happy lending to Tier 1 people? We are in a similar situation... Thank you.

    Lemoni

    Hi there Lemoni

    Yes I have talked to Natwest and they said that as long as there is one year left on the Visa they will let me take out a mortgage.

    I think also that Halifax have the same type of rules, will be ringing them tomorrow.
  • unhappy_shopper
    unhappy_shopper Posts: 1,304 Forumite
    edited 13 June 2011 at 3:09PM
    We were also in a similar situation. HSBC refused to give us the mortgage offer after giving us 'agreement in principle' a few weeks before that. We were Premier customers with our earlier mortgage from HSBC. Even then, they cited our visa status as the reason for rejection. Santander also refused for the same reason. However, Woolwich was most receptive and sanctioned our mortgage offer within weeks. HTH.
    Mortgage: @ Feb. 2007: £133,200; Apr. 2011: £24,373; May 2011: £175,999; Jun 2013: ~£97K; Mar. 2014 £392,212.73; Dec. 2015: £327,051.77; Mar. 2016: ~£480K; Mar. 2017 £444,445.74
  • Ms_Sophia
    Ms_Sophia Posts: 182 Forumite
    edited 13 June 2011 at 4:02PM
    We're also here in Tier1 visa's. What we've found out is:

    - First Direct doesn't give mortgages to people without ILR.

    - At ING they told me that as long as there is one year left on the Visa then it should be ok.

    - In Woolwich they talked to their underwriters and said - ok but no more than 60% LTV.

    One of the ideas is to talk to whole of market brokers, they can call underwriters in the banks directly and find out if there are any restrictions regarding visa's in this particular bank.
  • The_Palmist
    The_Palmist Posts: 789 Forumite
    Part of the Furniture 500 Posts Name Dropper Combo Breaker
    Nanz wrote: »
    Hi there

    I am looking for some advise on Mortgages as my current bank HSBC have turned down my application for a mortgage as I am on a Tier 1 Visa.

    My Tier 1 expires at the end of 2012, and after that I can apply for Indefinite leave to remain.

    Exact same situation except mine is sole application. HSBC said no after agreeing with everything else.

    Nationwide say they need more than 24 months stay remaining.

    Halifax are happy to proceed with 12 months or more remaining. Currently in progress with Halifax.
    Nothing is more damaging to the adventurous spirit within a man than a secure future. - Alex Supertramp
  • shahmir_2
    shahmir_2 Posts: 3 Newbie
    Hello everyone

    I am on Tier 1 (G). HSBC agreed to provide me mortgage but at very last minute they refused for not being on ILR. I am looking for a mortgage urgently. I'll be grateful for any advise.

    Thanks
  • kingstreet
    kingstreet Posts: 39,256 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    From the little experience of this subject I've had, Halifax is likely to be your best bet. Hopefully others will have suggestion for you too.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
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