Its all gone wrong! Nightmare :(

Sarahpuggy

Hi all,

Well i am feeling utterly gutted and i need some words of wisdom. We originally got a mortgage agreed in principle with Northern Rock, we wanted to borrow 177k.(100%) We came back with a medium credit score and all was good, they said we could borrow up to 198k, with fixed rate things etc..

Anyway so the flat/house hunt began. We found a place we love, was on for 180, we offered 175...accepted. Broker put the mortgage application in and its all gone tits up! It turns out when we got the AIP for some reason a couple of our previous addresses weren;t included...namely the addresses i had been at, at University and one was missing from my bf's history aswell, i dont really know why...just a miscommunication between me and broker somewhere i think. Anyway, turns out that now they have rejected us because of how many addresses we have had! They will now only lend us 144k! Broker tried one other lender..Accord but they said would only lend 165k. We are in Kingston Upon Thames, very expensive area...and cant really move too far out, and the prices aren;t that much cheaper anyway.

We are from a small town and only ever moved house for University or jobs. I would only have two previous home addresses over the last 3 yrs (my parents moved from childhood home 2 yrs ago) but with them including my university addresses, i now have 4 previous addresses! My boyfriend moved from University, back home whilst searching for a job, then to Bristol for 2 yrs, and then to London...2 addresses in London in the past year! The first place he only lived there 4 months because the guy he was sharing with was doing drugs and he had to move out cos he didn't wana live with someone like that!

Anyway im getting off the point...so...mortgage has been rejected on the fact we have had to move about a bit. We have good credit history, a joint income of 44k which will only rise and now we are stuck paying a rent of £700 a month in a place that is tiny and unbearable..but god forbid we have to move again!!! lol. I guess we'll lose this flat now too Im so gutted.

I guess i just wanted to know if anyone else has been through this sort of thing and can relate. I feel its incredibly unfair as we have worked so hard to get qualified and have a good income etc..*sigh*.

I just hate the thought of waiting a few more years and throwing all this money away, and if we move to another rented place its just going to damage our address history even more! arrrrghhhh its so depressing! Sorry for the long post!

Sarah x

AndrewSmith

Northern Rock have been renowned for the stability of their AIP's over recent years.

It is not uncommon, especially at the higher end of income multiples, for them to reject a previously agreed case once the full application goes in. One should never be too confident of a Northern Rock AIP unless you get the highest grade of credit score pass and are within 90% of your maximum available lending by their criteria.

It will be something that the broker will not have seen coming, just one of those things. Think of it as a reality check if you like on what you are likely to be able to get agreed as a mortgage.

Dust yourself down, you will soon get over it. This is what buying property is all about.

Andy

chirpy007

Im really sorry about your prediciment, l would be gutted. Try C & G, do it yourself and not through a broker. Pop in, tell everything so there will be no nasty surprises and see how you get on. They are quite generous lenders. Good luck

Sarahpuggy

Thanks Andy..

Your right and that is the way we are "trying" to see it! Ive been pretty upset but i have to see it sensibly now. I guess we are just going to have to wait a few years and try to build up a deposit and keep up with all credit, which we have been anyway. I just hate the fact thats its something so small like addresses!! we can easily afford the mortgage, its so frustrating..

I just dont want to stay where we are at the moment, we are on top of each other with no space to do anything! arggghhh.

Sarah

JennyB

So sorry to hear this, it must be really awful for you. I really don't understand why having a few previous addresses recently has anything to do with how much you can borrow - seems rather unreasonable. We had problems with the Woolwich before in a similar situation. We got an AIP from them and then found the place we wanted to buy, went back and they'd lost the AIP and said they wouldn't lend us as much as they'd agreed before. :eek: It was horrible. The main reason it didn't spell disaster for us was because I fought tooth and nail with them until they honoured the original AIP - by the sound of it that wouldn't help in your situation.

Have you tried going to your own bank? We went with the Woolwich because we were advised that as we'd banked with them (Barclays) for years they might lend us more than other lenders: they did. Perhaps that might help in your situation? Could you borrow the shortfall from family or through family - i.e. could your parents borrow £10,000 for you? I don't know much about guarantors, but could someone be your guarantor for the mortgage?

Good luck. I hope it all works out for you in the end.