2 Year Fixed Rate Mortgage Providers Wanted

powerwin

Hi Guys

I want a competitive 2 year fixed repayment mortgage, in which the lender will lend 3.5 times earnings based on average of last two years self employed earnings.

Property value £128k
Deposit £20k
LTV 85%

Here are my last three years self employed earnings (pre-tax). I don't want the 2009 figure pulling down my average.

2009 Tax Year: 10,760
2010 Tax Year: 31,719
2011 Tax Year: 28,043

I'm researching this tonight, and know that HSBC won't lend because they base it on average earnings over last three years.

So, if anyone has any suggestions for other providers, let me know. I'm looking to arrange the mortgage direct with the provider.

Thank you

GMS

Why would you not use a broker? Obviously if better deals were available direct then understandable but to say you want to arrange direct could be missing some products.

powerwin

GMS wrote: »

Why would you not use a broker? Obviously if better deals were available direct then understandable but to say you want to arrange direct could be missing some products.

To answer your question, it's because mine is a very straightforward situation. First time buyer, buying by myself, fairly affordable. I've done a lot of research and feel happy arranging this myself. If it was a more complex situation, then I would consider a broker.

Really I'm just after any suggestions, e.g. if someone has been in a similiar situation and had a good experience with a particular lender.

Many thanks

GMS

Even a straighforward case can be better through a broker if an exclusive is available. Probably not in your case though.

When comparing look beyond the rate. As you only want a 2 year fix look at the arrangement fees. A £999 fee works out at around £40 per month over the 2 years. If a no fee rate has a monthly repayment of say £20 per month more then it may be worth considering. Same with valuation fees. Some are £300 plus with others free. If ti comes down to a few quied each month the free val can be worth paying the extra.

Which lenders have you approached other then HSBC?

powerwin

GMS wrote: »

Which lenders have you approached other then HSBC?

Thanks for your comments.

Initially I was considering properties for £110K, and approached YBS and The One Account. The One Account isn't doable because I don't have enough deposit.

Tomorrow I will enquire with:
- Barclays/Woolwich
- Nationwide

Any further suggestions? Really after lenders prepared to look at someone self employed on two years earnings history.

Thanks

handytips

Barclays also average self employed earnings. Good luck with your trapsing around.