Buy to let Q

_Andy_

If what you're saying is the total borrowing is 6x income then it will be a straight decline.
How on earth they think what they're doing is sensible is beyond me.

noddynoo

Thanks andy a voice of reason it is 7x actually and i can't believe they ar doing it but they are.So if the 2nd mortgage people se that the btl has always been paid (it has) they may not investigate it further?In a way i hope they do get a reality check as they will have to pay bills etc in both It is crazy!

noddynoo

Thanks for all the advice I need to speak to them and its a great help

_Andy_

7x? Even worse.
Look the only way it's going to happen is if they tell the lender it's a BTL mortgage. If the lender asks for any proof, they're stuffed. Either way it's fraud and either way it's ridiculous.
I wish you luck with talking them out of it but sounds like they've got their minds made up. Recipe for disaster sadly.

noddynoo

Well it is going from bad to worse so i am going to keep my mouth shut!
They are def going ahead have paid full asking and getting survey so am assuming at this stage the bank will either check or not.I hope to god they don't actually or they will be in trouble I'm sure

nickmack

noddynoo wrote: »

Well it is going from bad to worse so i am going to keep my mouth shut!
They are def going ahead have paid full asking and getting survey so am assuming at this stage the bank will either check or not.I hope to god they don't actually or they will be in trouble I'm sure

It sounds like you've done what you can to try and help, but some people find it difficult to listen to what they don't want to hear.

Maybe direct them to this thread and see if it initiates a wake up?

noddynoo

I am going to show them this as they really can't see the risk.Thanks for all the advice my main concern is that some people say this is fraud and I am worried they will get into serious trouble not just a slapped wrist.Btw does anyone know if this system is still in use?eg granting a btl mortgage on projected rental figures rather than on if the person can afford it It seems outrageous!

hearts

erm, they must think they can afford it. They cant be that daft if their earnings are what you say. One sided discussions tend to only give you one view.

_Andy_

So mortgage fraud isn't 'daft' then?

noddynoo

They are not daft usually tbh but in this case?This actually isn't a one sided discussion as I have only repeated word for word what they told me and I thought it strange but thought I'd get some expert advice