High earnings multiple but with guarantor but still no mortgage offer. Advice needed

cheers_drive

To cut a long story short (see my other threads) I'm hoping to take over the mortgage of my house which I own with my ex. It's with C&G and I've been through a new application to take it over (but keep the existing mortgage rates which are much better than those currently offered) and the (high) earning multiple of 5.6% was refused so my parents offered to be guarantors but the C&G computer that the advisor was using still said no. It has been referred to the underwriter as the advisor thought I had a good case but in the meantime is there any other factors that may help me get the mortgage?

Some other information:
I have not dependents or debts.
My parents have no dependents or mortgage but are self employed and our combined income makes a multiple of 3%.
I've been a C&G customer for 4 1/2 years with no missed payments.
My new partner pays me market rent and I previously had a lodger - but that doesn't count towards the C&Gs decisions.
I have done a full budget plan and I know I can afford to pay the mortgage all the way up to 10% interest without having turn to my parents as guarantors.

If it's just not possible than that's just what's meant to be but the application with C&G has had lots of problems with them not logging information on the case file and never calling back when they should do so I don't really trust what the advisors are saying.

maninthestreet

A multiple of 3% - what does that mean?

Cannon_Fodder

I don't think it matters that together you would have a multiple of 3x.

The point is more likely that the guarantor is not called upon until necessary. So, on your own its 5.6x, which is not desirable to most lenders.

Should you become unemployed or whatever else requires them to go to the guarantor, your parents would then have a 5.6x commitment, which remains undesirable. Perhaps more so, with the self-employed element.

http://www.independent.co.uk/money/mortgages/guarantors-go-out-on-a-limb-to-get-their-children-on-to-the-ladder-1030835.html
"For the vast majority of banks and building societies, this means parents should be able to demonstrate they could qualify for the entire mortgage."

Conrad

Parents age, income and outgoings will be taken into account.

Guarantor mortgage applications usualy fail I find, just too many risk factors for lenders taking older people through the courts when thier children fail to pay.

There are often better approaches but will take too long to go into here.

herbiesjp

Just because C&G will not agree it, does not mean others will have the same result.

You may get a different response with a different lender who has different lending criteria.

One important factor is the LTV - what is that?

Lodger/partner income will not be taken into account by most lenders.

cheers_drive

A multiple of 3% - what does that mean? Sorry i I mean times not percent on the multiples

The reason I want to stay with C&G is that I'm on a BR+1.5% tracker which they will let me keep. A new mortgage would be more like a +6% tracker for the first 2 years so I could actually pay more per month on a mortgage for a much smaller house on a 4.5x multiple I can get.

I'll try a mortgage advisor that's been recommended to me but it looks like I'll have to sell to pay more per month for a smaller house :0(