Can my 'moving around' effect mortgage chances?

jollymolly_2

Hi all,

Over the past 4 years I have rented 4 different properties due to relocating for my job and other factors such as landlords selling up. Could this effect my mortgage chances? I would be buying with a parner who has not moved around like me. Thanks in advance

Steffi747

I too would like to know the answer to this as I have moved about 10 :eek: times since 2006 due to being a student.

izools

Yes, this will adversely affect your chances.

A mortgage underwriter will want to see stability. They won't be interested in the reasons behind moving.

2+ years at your current address and you don't look so unstable but less than this will definitely hurt your chances.

Obviously it's more like a sliding scale but you're looking to be able to say 2-3 years at your current address to ensure this doesn't adversely affect your app.

spider_girl

I wasn't aware of this, i had better make sure i stay where i am!

tyler80

I thought banks would be interested in seeing stability with your job, I'm not sure that the number of previous addresses is quite so important.

We both had to put down 3 previous addresses on our mortgage application, that's the joys of renting.

Seems utterly bizarre to me that you could be penalised for something that is absolutely not your fault

kaych

I moved 5 times for the past 6 years, as I was a student. I moved three times since I started my job in 2007. My partner (who moved just as many times as me) and I got our mortgage last June with HSBC. So the frequent change of address may have an impact but it did not affect us too much.
I would think it also depends on how much deposit you have and your affordability, which I would think they are more important.

kingstreet

If you are using a credit-scoring lender, you'll find some of the answers you give will score you more points than others. Then, you'll answer some questions and score nothing, or even a negative score if you've had adverse credit.

At the end, the system tots up the points you've scored on each answer and compares your total against the "desired" profile and you get accepted, accepted at a lower borrowing or loan to value, or declined.

Someone who has lived at their present address three years or longer will definitely score higher than someone who hasn't. However, making sure you're on the electoral roll and making sure your financial services providers know your latest address asap is also vital, as a lender being able to find you and verify you is essential.

One of the reasons the CRA numerical scores are such a waste of time is that the essential information your lender needs, such as time in employment, time with bank, telephone numbers etc isn't isn't requested or stored on your credit file. Search for the "999 credit score and declined" thread for more on this...