What's going on??

MortgageWoes_3

Hi All,

I've recently been hoping to get a morgage to buy a friend's house (he needs to sell quickly). I earn enough to be eligible to borrow £155,000 and I have a deposit of around £30k (the house is £180,000).

I've had a broker look into all my finances for me and he thought everything would go through smoothly but all the banks are turning me down!

I have excellent credit (when I checked last night my score was 966 and there's nothing bad on there at all), I have a credit card, overdraft (which I'm not in) and mobile phone contract. I have never had bad credit!

The only thing that the broker can think of is that I'm not on the electoral roll (I've recently moved back here from Spain)... could this really be all that's stopping me???
(I'm self employed and have 2 years worth of accounts if that helps)

What's going on??? :eek:

Thanks in advance for any advice

foxy-roxy

I think it could possibly be the Electoral Roll, my sister has fantastic credit and when she applied for a mortgage last year she was refused, mortgage adviser told her to go on the electoral roll and when she re-applied she was accepted straight away.
Definitley get yourself on it and try again. (providing that the recent searches you have had haven't dented your file.)

Good Luck.

MortgageWoes_3

Thanks, I thought it might be the case. It's all very annoying though!

stavros1981

I know when looking into my wifes Self Employment, the bank (HSBC) required 3 years accounts and wouldnt look at anything less but I too feel the Electoral role will help. the fact you say "all the banks are turning me down" points to more than one application. It may be worthwhile to wait a few months if you`ve applied to a few already. numerous checks in a short period can impact on your score.

Thrugelmir

I've recently moved back here from Spain

Do you have 2 years of trading accounts while in in the UK?

kingstreet

If you are getting declined at agreement in principle stage, it's probably the voter's roll check coming back empty.

Get in touch with your local council and get yourself added asap.

The lack of trading history won't be helping. An answer to Thrug's question would be helpful

Take no notice of the daft numbers you get from Credit Reference Agencies - they mean nothing, as you are now finding out!

Search for the "999 credit score and turned down" thread if you want to read more.

MortgageWoes_3

Stavros 1981 - Well I've not been applying, it's all being done through my friend's broker (the guy whose house I want to buy) so I have no idea how many he's applied for... might be worth checking out if it's hurting my chances!

Thrugelmir - My business was still registered in the UK (naughty I know), so hopefully, if I ignore the fact I was living in Spain, they might too?? I was self employed in the UK for a year before that too (so technically 3 years of accounts) but the figures were dire in the first year and I thought it might put banks off?

Thanks kingstreet - I'll have a look for that!

Thanks all!

Thrugelmir

MortgageWoes wrote: »

My business was still registered in the UK (naughty I know), so hopefully, if I ignore the fact I was living in Spain, they might too??

Not a good way to approach a mortgage application. Attempting to deceive. Lenders do communicate with each other.

MortgageWoes_3

You're right, best to come clean.

I'll get on to the council and see about getting back onto the electoral roll and hopefully that may remedy the situation.
The broker knows we were in Spain and hasn't really batted an eyelid so he may have already told this to the banks, it's probably a factor in being turned down.

kingstreet

There's also the Hunter system to worry about.

It logs the data you supply on each credit application you make and the next lender you go to compares what you're telling them now with what you've said before!

http://www.nhunter.co.uk/

MortgageWoes_3

kingstreet wrote: »

There's also the Hunter system to worry about.

It logs the data you supply on each credit application you make and the next lender you go to compares what you're telling them now with what you've said before!

Maybe I need to find out what this broker is saying then?
Silly of me to completely leave it in his hands but it seemed to be the least stressful route to home ownership!