Will taking out a loan affect BTL Mortgage application?

moatmeister

Got BTL mortgage application going through. All financials etc been checked and approved. Will taking out a personal loan or credit card advance prior to mortgage completing affect it?

Thrugelmir

Depends if your lender does a spot check before releasing the funds and wishes to follow up on the matter.

Is this to fund the deposit on exchange of contracts?

herbiesjp

It shoudn't affect the loan amount, as that will be dictated by the rental income.

moatmeister

Its to partly fund deposit. was all sorted out and due to complete before christmas, then unfortunatly one of the joint vendors died causing long probate delay until recently. In the mean time I had to spend some of it. Now about £4k short of £30k total required. and compounded by BS putting £4k retention on some repair work so in total a £8k shortfall. Confident about being able to borrow in principle but dont want to jeoperdise mortgage going through.

moatmeister

Also, its a variable situation at the moment because the longer it drags on the more I can sell or save but could do with a fail safe backup plan.

moatmeister

..............bump!

nikshadio

Hi
I am looking to purchase a home I am would like to borrow about 5k to help towards the deposit will that affect my loan application. I have no other credit commitments, I do check my credit history on experin which shows that credit history is excellent. How will applying for the loan before the mortgagate affects my mortgage application?

nikshadio

Hi
I am looking to buy a house and is thinking of taking out a loan for around 5k, will that affects my mortgage application?

blueberrypie

Mortgage providers won't accept money you've borrowed as your deposit. No go, I'm afraid.