HSBC Mortgage

stavros1981

Hi All

First time poster and First time buyer

Applied with my wife for a 90% first time buyer with HSBC. Mortgage costs £150k total.

We earn £58k between us.

Got offer in principal then found the house. Applied for the Mortgage and passed affordability check and passed Credit check.

We have Credit card balances of £9k between us and loan of £7k

It has gone to the underwriters as all 90% mortgages do.

Should I be optimistic about approval or pessimistic? im on edge!

Read alot of horror stories on various sites about HSBC. We bank with them so seemed first point of call!

Also, anyone know what the underwriter actually does?

Thanks

S

anh1904

I assume you declared the borrowings on the mortgage application, in which case all should be good.

It would do no hard whatsoever to tackle them as a priority since they will drain ever decreasing resources once you jump into the bottomless pit that owning your first house always turns out to be.

kingstreet

You should be alright, as long as the property is within their lending criteria.

stavros1981

Thanks BOth!

Yes all loans and credit cards accounted for in application. We were 6% below their limit of 60% in terms of affordability and we have excellent credit scores etc.

i was/am nervous due to the credit card/loan debt and late (not missed) payments (121) with Orange in late 2005 - I just noticed these and am disputing as account was meant to be in querie.

Fingers crossed!

Also....yes we will be paying off CC debt -recently married; expensive!. Im from the Uk but studied in the USA so all loans are personal used to study out there and finish next year!

stavros1981

re: late payments; my score is still 999 (for what that number is worth!!) with experian.

and yes....home is within lending criteria and house next to the one we want just sold for £170k

S

Rachsed

Fingers crossed you do get approval, however I have just had an HSBC mortgage application turned down as I exceeded my agreed overdraft limit in the last 12 months. It was sorted out and money paid back in to cover the amount I went over by within a day but HSBC don't want to know.

I'm a long standing HSBC customer, perfect credit score etc but to no avail.

Best of luck.

Leon_W

Unfortunately word on the grapevine is that HSBC are piling them high (the applications) and cherry picking. I have spoken to a lot of brokers recently that have been trying to pick up the pieces of failed HSBC applications particularly at 90%. As the previous poster points out, applications seem to be routinely rejected for the smallest indescretion.

Anyone contemplating such an application would do well to have some sort of backup plan to prevent (or reduce) the loss of fees.

Regards

stavros1981

Thanks for your posts. Rachsed I am sorry your application was rejected for such a menial reason.

I am trying to be optimistic as HSBC have always been ok with me and I have never even been a day late with any payments to them.

Is it does flop though, any ideas on where would be a suitable mortgage provider?? Anyone?

Also, this mortgage is fee free so no monies lost - yet. I just want it sorted ASAP and to get in the house ASAP

Thanks again for all your replies.

S

FATBALLZ

I've recently had a mortgage approved with HSBC. It was 80% LTV, we earn more and are borrowing less than you, but were actually fairly tight on the affordability which I believe is due to high childcare expenses. Hope it works out for you.

stavros1981

After all bills inclusive of monthly supermarket spend, we have £1800 left. The Mortgage will cost £810 a month inclusive of insurance against death, redundancy etc leaving near £1k

I would hope this would show a good amount left should the mortgage increase or little ones come along.

What, if anything did the underwriters say to you? are they personable?

FATBALLZ

stavros1981 wrote: »

After all bills inclusive of monthly supermarket spend, we have £1800 left. The Mortgage will cost £810 a month inclusive of insurance against death, redundancy etc leaving near £1k

I would hope this would show a good amount left should the mortgage increase or little ones come along.

What, if anything did the underwriters say to you? are they personable?

Yeah that's fairly similar to us, the mortgage will be £700, and we currently have a few hundred less a month spare than you do.

We never really heard from the underwriters, it took ages for them to look out our application, so I kicked off a complaint and they rang a few hours later to say we were accepted and just explained the process for valuation, survey, fees etc.