Will we be able to get a mortgage ?

fuzioneer

Hello All

looking for some informed advice

My wife and I are presently travelling around Europe (Currently in Sicily).

We have been property owners in the past. We sold our third property back in February 2004 and used majority of the proceeds to purchase a large motorhome which we travel in, and the remaining £15,000 is in the building society.

I am a web developer and have formed a Ltd Company in UK back in October last year to track my business activities. I run a number of websites which generate revenue in various means, the current monthly income from these is in the region of £1500. This revenue is due to increase as we are opening ecommerce facilities on two of the sites and hopefully this will bring in steadily increasing extra funds.

I have conducted an online Equifax credit report check on myself and got a healthy report back.

We are finishing our 1.5 years travelling in June when we are returning to the UK.

We ideally would love to be able to purchase an old derelict property and live in our motorhome in the grounds whilst renovating the property as we are completely self contained including satellite broadband internet access.

We have looked around and seen many properties of this ilk, normally around the £75,000-100,000 mark

We had thought of using our motorhome as collateral as it is worth around £50,000 and would equate to using a normal home as collateral for a second property.

My question finally is how would it be possible for us to get a mortgage on this type of property in the UK, bearing in mind our very unique circumstances?
and if so, who with

somemortgageanswers

Firstly getting a mortgage because you have been away should not cause you to many problems - provided you have evidence (money laundering rules)

Secondly, many lenders dont like lending on derelict properties - they have an increased risk of a property they wont be able to sell if you decide to hop back into your motor home and dissapear into the sunset - to protect themselves lenders apply retentions - this basically means that they hold money back until works have been carried out - so your problem maybe that you will need money upfront to the work on the derelict property - chicken and egg springs too mind!

Thirdly - I doubt whether lenders will take a motor home as collateral.

Finally - proving the income would appear to be difficult - therefore you may need to look at a self cert loan, some lenders dont do these, so that narrows the choice. Of those that do you will need at least a 15% deposit - there are one or two who will allow for a 10% deposit - but again this narrows the choice.

My advice would be to speak to an independent mortgage broker - he/she will be able to fully assess your situation and give you the appropriate advice.

fuzioneer

thx for the advice, got any pointers for good independant brokers and also which lenders will allow me to do a self cert loan and also which lenders allow only 10% deposits

simonjfisher

There is a scheme from Buildloan that does pretty much everything you are looking for but it is a bit too complicated to explain here and you really do need to take some advice from a independent mortgage broker.

Debt_Free_Chick

fuzioneer wrote:

thx for the advice, got any pointers for good independant brokers and also which lenders will allow me to do a self cert loan and also which lenders allow only 10% deposits

Self cert usually involves a higher interest rate is usually offered for only up to 80% of the loan.

fuzioneer

thx, i have applied to a few brokers for info, but one replied saying i probably wont be able to lend against using the motorhome as collatoral, this i cant understand as the motorhome is an assett worth over £50,000 ?

and the 80% shouldnt be a prob as we will have 15000-20000 for deposit and only looking in price range of 75-100K

herbiesjp

There may be a lender that I know that can lend against assets i.e. motorhomes but this would involve needing more information