Mortgage foreign nationals

kingstreet

U4EA wrote: »

They bank with Bank of Scotland and went into their branch today and explained the situation and spoke to someone at the bank (it is unclear if they were a Mortgage Adviser or not as they were just taken over to see them on the spot when the meet-and-greeter in the bank asked them what help they were looking for). The person they spoke to looked up their accounts, said it was all in order, and asked them what what their new visa would be. They explained it to them and was told that the first criteria was that they absolutely must be a British citizen or permanent resident and they cannot offer mortgages to those who aren't.

I refer the Honourable Gentleman to the reply I gave some moments ago...

U4EA_2

kingstreet wrote: »

I refer the Honourable Gentleman to the reply I gave some moments ago...

Yes, it seems they got this far down the list...

> Applicants must not enjoy diplomatic immunity
> Passport includes indefinite leave to remain - proceed

... and concluded they are not eligible whereas if they had read on (granted it's not very clearly written out) it seems they should have asked more questions about their status in the country?

pembssurf

Kash1973 wrote: »

I would like some advice. I have been declined a first time buyer mortgage with my bank HSBC because I only have 18 months left on my work permit visa.
They have ignored the fact that I am a NHS consultant with strong salary and permanent job. I have lived in UK for 4+ years and am eligible for settlement/ permanent residence early next year. They said according to their 'unwritten rules' I had to have at least 2 years left on my visa or have permanent residence here. I was paying 30% of the price of the house (£410K).
What to do next to get a good mortgage? Any suggestions?

My wife is a Brazilian national and works for the NHS. We applied before she had her ILR and Natwest were willing to lend to us even though she only had 4 months remaining on ILR. We got through DIP but by the time the application went in 2 weeks later we had a ILR appointment in person (paid extra £500 for same day decision) and then posted the ILR card in the following week to underwriters..From what i gather they didn't even look at it. She was on a spouse visa though so maybe thats slightly different. We approached Natwest via a broker. HTH

kingstreet

pemb - that post is over four years old!

U4EA_2

Can I ask how long it takes for Halifax to confirm if a person is eligible for a mortgage? I don't mean the process where you apply for a mortgage on a property once you have found one but the process to see if you are eligible for a mortgage itself? If you fulfill the criteria above, are you essentially approved? I would assume at very least they will do a credit check on you first?

kingstreet

A decision in principle, which is a "Mortgage Promise" in Halifax parlance takes about five minutes.

However, it's only a soft search, so is more prone to being declined at full app than others.

You don't submit supporting documents until after a full application is submitted, so a residence/immigration issue isn't going to be resolved until then.

FWIW Halifax is brilliant for sticking exactly to what its criteria says. If you meet the requirement, it will be fine.

U4EA_2

Thanks again kingstreet.

By "soft search", I would assume you mean they just take your details and if everything checks out, you should be accepted when it comes to actual application? i.e. everything you said is entirely correct, nothing bad that hasn't been mentioned (criminal record, bad credit etc) and you should be OK?

I think the whole thing for my friend rests on this...

If not, has the customer lived and worked in the UK for over 3 years (excluding refugees or any period as a student) - proceed

Providing that does not have to be the LAST 3 years worked, they will be fine. They are a new PhD graduate, just started a very well paid job working for a solid company (it turns out they will be getting more than they thought as a starting salary) on a 12 month contract. They will be only looking for 3 x salary mortgage and will be able to produce a deposit of 20-25%.

I am really hoping it works out for them... they have worked long and hard to make the future they wanted for themselves.

BTW one of the reasons I am asking how long the initial approval takes is that they will be returning from holidaying in Iran in a next week and they will be looking to rent immediately while they try to sort out a mortgage and (if successful), property. So they need to find out as quickly as possible upon their return if they are going to be approved for a mortgage so they know if they should just rent a room for a few months while they secure something or return their own place longer term.

With that in mind, they are going to book an appointment with Halifax before they return so hopefully they can get an appointment the day after they return. And I will give them a copy of the criteria to take in with them (and I will go in myself if Halifax allows it).

Thanks again kingstreet... very, very, very much appreciated.

kingstreet

Why go direct?

Why not have a broker put this together and reduce the risk of being declined?

Any other options might be uncovered too.

By "soft search", I would assume you mean they just take your details and if everything checks out, you should be accepted when it comes to actual application? i.e. everything you said is entirely correct, nothing bad that hasn't been mentioned (criminal record, bad credit etc) and you should be OK?

No. It means Halifax does a search at current address and last three years only. In this way, anything from a previous address and more than three years ago doesn't show up.

U4EA_2

kingstreet wrote: »

Why go direct?

Why not have a broker put this together and reduce the risk of being declined?

Any other options might be uncovered too.


No. It means Halifax does a search at current address and last three years only. In this way, anything from a previous address and more than three years ago doesn't show up.

Yeah, I think going with a broker is a good idea. Better safe than sorry.

When you say they search current address and last 3 years only, do you mean they only search this short a length of time when you first go in? I am probably going to sound really naive here, but what are they searching for exactly? I would assume everything will come down to credit rating? Are they looking for council tax records etc?

He banks with BOS and, while I never asked details, I know they have sent him plenty letters in the last year offering him more credit on his credit cards etc. And I know for a fact he has no bad credit whatsoever.

U4EA_2

kingstreet,

Can you recommend a mortgage broker? If it helps, I am in the Edinburgh area. I am going to book an appointment on behalf of my friend immediately.

BTW could you offer any advice on the typical % deposit that would be required? They are looking at buying a property at £130K or less and they should have a deposit of £20K (although they may need to pay all other legal expenses relating to the mortgage out of that as well). Is he really likely to get any "special treatment" because of his circumstances or is it a case that if he passes, he passes?