Can't get mortgage - Even with 30% deposit!

ACG

It depends to be honest, what about people that go travelling for a few years then come back and buy a house or people that come to this country and buy a house - eg Drs.

Its all down to the individual lender and their criteria. Some are "computer says no" others will take factors into account.

To give you an example, i have a client who just missed out on the affordability, however she received maintenace payments which they would not usually allow to take into account but because she only just missed out they were prepared to bend their rules as they could see she had been receiving regular payments. But not all lenders would do that. You really need to set aside a few hours speak to the lenders and find out why they declined it, if they will allow you to appeal it, what they need and how likely they are to overturn it (no point wasting theirs and your time).

I feel for you, i think im the only mortgage advisor without a mortgage...i cant get one as ive only been self employed for 7-8 months so i dont even have 1 years accounts let alone 2 or 3.

maninthestreet

So what address have you used for your Bank Account???

mic200202

Heres how I see it.

As you have a bank a/c then what address does the bank statements go to or what adress are you using? That should be your application address as it will show on a credit check.The electoral roll is updated regularly, and whether address is permanent or not, you can enroll using your most stable address.You can help by using or showing you can maintain a regular credit agreement - even a credit card.The address's must match up across all these.

As you are entertaining paying a mortgage then you need to think about renting your own space (not informally) for a while that you can match and stabilise everything up to.Your problem could be that you have used different address's for things ie one for bank, one for HMRC etc.Each time you use a different address for some form of credit the credit reference agencies like Experian will create a link to other address's in the background.When this gets to a mortgage application the lender will want to see the info matched up.My gut feeling is that yours will look like a dogs dinner for want of a better word!

A good broker can steer you to a lender that does a 'credit check' but not a 'credit score' as the items above will automatically reject you from some lenders systems.This may be the way forward.

want-it-all

Tysonator wrote: »

Whilst I understand this is used for a credit check what I cant work out is why you would get refused if paying a deposit?

Because paying a deposit doesn't shelter you from the possibility of defaulting in the future.

Sounds like you need to rent yourself a place, get on the ER, and stay put for a while if you can.

I feel your pain, though, I'm your age and no mortgage, and possibly no chance for a good few years yet. My problem is lack of deposit, though

Conrad

I agree you want to try a small Building Society that does not credit score, but none the less, you still must prove where you've lived, otherwise for all they know, you had a spell in clink or something. They usualy need 3 years accounts to proove income, but I have known 2 years be accepted occasionaly.


I suspect strongly that the guarantor / b2l type route could be the answer.

DVardysShadow

Conrad wrote: »

otherwise for all they know, you had a spell in clink or something.

This is the key issue you have to get over, Tysonator.

The fact that you have a 30% deposit but you are not a regular person. So they are holding you at arms length in case you got your money by drug dealing or crime.

I would suggest that you rent somewhere for a year or 2 and get yourself on the electoral role. At the moment you are below the radar and they don't like that.

Tysonator

Thanks for the tips, and whilst I dont mean to sound ungrateful some of the advice is just not going to happen.

I've worked beyond belief to get to where I am now, Ive been homeless on more than one occasion and want nothing else than my own place.

I cant rent in the town where I live, as its a very small place with not much on offer. Most rentals go through the estate agents here, and they are very strict on certain things, i.e. pets.

Its ludicrous to live in a country where if you have a 30% deposit it doesnt matter because "we still dont know who you are?"

What a joke. LTD Company, VAT Reg, Bank since birth, 30% deposit but no.. Because I didnt fill out some stupid form.. Im not who I say I am

Honestly am not trying to sound ungrateful for the advice however some of you dont seem to realise that if I could go on the ER I would, I cant so im not.

I have been offered to be able to go on the ER at a mates who lives 200 miles away though I dont see how thats going to help.

Thanks everyone who replied to this, really do appreciate it, just think the whole situation stinks.

Thrugelmir

Tysonator wrote: »

Thanks everyone who replied to this, really do appreciate it, just think the whole situation stinks.

Precisely the view a lender would take, and why they have rules.