Morgage application - LL reference mess up :(

RetroBob

My bro and his fiance and I moved in to a 3 bed place June 2007, rent went from his account to the LA. His fiance and I simply transferred our share to him each month.

Two months later we got a later from the LA saying that the LL taking over the management of the property as he was moving back to the area. In December 2007 we got a letter from the LA proposing rent increase, we eventually settled on increase 1/3 of what they wanted which was fine.

Cut to now, I've saved a decent deposit (as have they) and as per my other threads of random questions, I am buying. Given that the LA sorted out the increase in rent, I gave my MA the LA details as a reference for my lender to check that I am a good risk for monthly payments for the last 1 year 9 months. Fair enough. However turns out that despite the LA having worked on sorting the rent increase in Dec 07, the cash had actually be going straight to the LL since the letter in August 07.

Therefore, I'm super worried that my lender will go to the LA and say, "this chap says he has been paying rent for 1 year 9 months, has it been paid on time each time?" and they'll reply, "No we just got paid us for 2 months". I've already emailed my MA with the LL details, but am worried that this discrepancy will work against me in the mind of the underwriter. Am I flapping over nothing or should I be worried?

sooz

I think you are worrying about nothing. If the LA is called for a ref, they should say that they are no longer managing the property, & the mortgage co should speak to your LL.
You've already informed the mortgage co of your mistake, & they too should contact the LL not the LA.

RetroBob

Thanks for your advice. Anyone else find things seem much worse when you are lying awake at 3am?

kunekune

Yes. Especially if you had a few drinks before you went to bed ... The number of nights I've spent on panicking about the wardrobe configuration at our new place, or ... well, you get the picture. And of course we haven't actually exchanged contracts yet, so I can't reduce the worry by actually choosing a wardrobe. It's normal, don't panic, you're not going mad. Have a cuppa (or another glass of wine if it's before midnight).