Self employed, new mortgage advice please...

Trollfever

retro-spective wrote: »

Ive just found the debate board, some interesting stuff about house prices over there, looks like we will carry on saving and hang tight! :beer:

You may like to get a second opinion.:)

http://www.housepricecrash.co.uk/forum/index.php?showforum=22

surreybased

Hi,

Can I just check - your partner has held mortgages for 20years and his current equity is £40k which will go to his ex. Is that right? Does he have equity elsewhere, in the commercial properties? If he does then one possible solution would be to look at taking equity out of these to provide a deposit for a family home.

retro-spective

Sorry for the delay in replying.

Yes he has held mortgages for a long time, has never missed a payment in all the years. Has always put down big deposits. He has equity in all his properties, but he can't remortgage them as his ex wife is on the loans with him. Until she gets the equity out of their shared house, she wont sign over the businesses to him. I know this would be the solution to all our problems, but he is also reluctant to free up equity even if and when she reliquishes hold over them, as some of them are almost mortgage free.

Im not scoffing at a tiny flat, im saying we have a growing family, kids and 4 businesses, and have spent years building our lives to this point. It would be neigh on impossible to go into a flat, and certainly wouldn't be something we would want to buy, and tie ourselves into when we know its not suitable, that would be bad advice indeed. The next move will hopefully be our last for many years.

My point is, he has spent years building up his businesses, every penny is paid on time, we have no debt, and yet we cannot buy a house on the same par, let alone move up the housing ladder, and would only afford a one bedroom flat. It seems very unfair.

Again, I think, surely loads of self employed people are struggling to even remortgage, or get anything? I know we are higher risk as he is self employed but his credit and previous history, and status, says he is a stable reliable borrower.

(I wont be on the mortgage, I don't want to downgrade his credit, cos of mine, when mine has recovered, yes.)

beecher2

retro-spective wrote: »

Sorry for the delay in replying.

My point is, he has spent years building up his businesses, every penny is paid on time, we have no debt, and yet we cannot buy a house on the same par, let alone move up the housing ladder, and would only afford a one bedroom flat. It seems very unfair.

But you do have debt - you have mortgages. You also have a relatively low income for what you want and I really do struggle to think why you feel this is unfair.

retro-spective

I feel it is unfair because we are being treated VERY differently now to before. It's not just us, I understand this, the world is in crisis, downgrading is one thing, but not being able to get ANYWHERE near the mortgage we need is horrible to experience, renting is such dead money. I would love to own a house for 100k like some of my friends up north, but unfortunately the businesses mean we have to be in this location

beecher2

retro-spective wrote: »

I feel it is unfair because we are being treated VERY differently now to before. It's not just us, I understand this, the world is in crisis, downgrading is one thing, but not being able to get ANYWHERE near the mortgage we need is horrible to experience, renting is such dead money. I would love to own a house for 100k like some of my friends up north, but unfortunately the businesses mean we have to be in this location

We're returning to more normal lending times and many would say that you should never have been loaned the amounts you were in previous years. Self certification was utter madness and lead to liar loans and people thinking that high levels of debt were the norm. You complain about high house prices, but the reason they're so high is because banks threw money at anyone without needing proof they could pay it back. I'm afraid it is time for a reality check.

Conrad

Retro I was one predicting the crash back in 2005. In 2009 on the 'debate house prices board' I called the bottom in spring last year and urged people to buy. The bears did not and now prices have risen 10%.

Be well aware that throughout all of Human history a certain proportion of the population ALWAYS predicts big trouble is around the corner. They say it at all times, always have, always will. Darwinian evolutionary theory has it that a proportion of the tribe are hard wired to be over cautious and doom laden as it acts as a warning to the rest of the gung ho tribes people. The gloomers can no more change thier gloomy thoughts than they can alter thier taste in food or music. It's hard wired, and not anything to do with realism or them being able to disseminate facts better.

Make your own decisions, and pay no heed to these soap box Hyde Park Corner 'doom is neigh' types.

They said prices would halve in 2009!

In 1980 they said Japan and Hong Kong would put an end to the UK and we were doomed, but instead we got richer! They told us the millenium bug would cause UK meltdown!! They thrive on bird and pig flu.

You see the doom mongers thibnk they are 'realistic' but their minds are very narrow and they cannot see beyond thier risk warnings.

The whole of life is a risk, prices fall, prices rise, rates go up and down, AND GUESS WHAT?
Less than 1% of us ever get repossessed.

Prices will not fall. The economy is rebalancing - less Government workers, but a growing private sector, just as happened in the early 1980's yuppie boom - loads a moneyyyyyyyyyyyyyy

MORTGAGE - there are options - consult a decent broker. Maybe even do buy to let temporarily where some lenders do not enquire about your personal income.

Arthritic_Toe

Conrad wrote: »

Retro I was one predicting the crash back in 2005.
...
The gloomers can no more change thier gloomy thoughts than they can alter thier taste in food or music.

You were a 'gloomer' that changed your gloomy thoughts.