Declined for Mortgage

ohgr

Well, our broker spoke to the underwriter, and apparently, it is very much due to the fact that we are not on the electoral roll. They would have given us a mortage with what would work at nearly a %40 deposit, which we can't manage.

Well the good thing is we now know what the issue is, the bad thing is there is not much we can do about it as our council only updates the register at quite large intervals.

Never mind

ohgr

Well we've got a mortgage offer from Britania, so they might be worth looking at for anyone else who is in the same situation.

S

saineegan

Hi I'm with the Britannia as well but found then quite tough- despite a LTV of only 55% because we were not on the voters roll. They asked us all sorts of questions and at times it was quite worrying as I thought they would decline the offer.

Cannon_Fodder

Apart from the electoral roll issue, I would have thought that Lenders will view debts as a way around post-credit crunch LTV requirements.

i.e. if your debts are around 5% of the mortgage, for example, it will appear on paper that you are choosing not to settle your debts in order to give yourself that 5% to top up your deposit.

Thereby being able to "afford" a 90% LTV instead of only 95% had the debts been cleared...

Now, while that may be harsh if you are doing some stoozing, they know such 0% deals won't be indefinite.

And they will suspect that when re-mortgage time comes, you might barely have paid off the debts, let alone saved anything to offset negative equity, which they cannot predict the size of.