Halifax can they be wrong??

Moo7498

Hi guys!

I'm waiting to hear back about my application for a resale shared ownership property (no comments on that bit please my lovelies!)
And I got an agreement in principle from Halifax for the shared ownership mortgage (25% share £42,500) but when I looked into Nationwide (at the same time as halifax) they said I didn't earn enough and because the rent on the remaining 75% is £320 I couldn't get a mortgage and was around £15,000 under the mark?!

My question is, do Halifax tend to lend more (I bank with them also) or is this going to all go wrong when it comes to the underwriters?! I'd be devastated!!

I earn £21,000 a year and originally Halifax quoted me £108,000 to borrow but then after I questioned that it went down to £93,000!
So now I'm wondering if they have this wrong but have heard from many people that they do lend more...

Mortgage and rent combined is about £520 a month which is what I pay in rent now so I know I can afford it!!

Any thoughts?? Thanks soooooo much!

Tempestina

The Halifax do tend to lend more than most. We got our mortgage with them in just my husband's name on only his salary. I think in the 'old ways' they would, in some situations, lend up to 5x a single salary. We got £65k on my husband's £21k salary but we bought outright and had 10% deposit. I do know for the reason of not being able to apply my income to the application (I was at the time on a time limited visa) the Halifax was the only one who would lend him enough to go it alone as it were.

Moo7498

Ahh I see thank you for your reply. I'm hoping Halifax don't go back on their word as it just seems strange that nationwide are saying I'm £15,000 out!
Do you know at what point it COULD go wrong down the line? Is it before paying fees when it gets to underwriters?

poppysarah

Ah but when you rent you don't have to fork out for repairs. You're responsible for more than a mortgage.

(Ok when you part rent and part buy you do)

anggrrr

All I can say is that the Halifax offered to loan me a lot more than A.N. other lender AND had no problem lending on two residential mortgages for 12 months, so it appears they are a lot more flexible. As long as you have been honest with outgoings etc. then I don't think you will be in for a shock when it gets to the underwriters. I speak as someone who is now in trouble with the underwriters, but that is due to the possessory title on my proposed buy, not my finances. What I did do was go for a short term non-fee mortgage just because I thought this would be a problem so if it all falls through I am only out my survey costs. I realise that is not an option available to everyone.

Moo7498

Ahh I see many thanks for the reassurance. So you think it's normal that nationwide said no but Halifax might go ahead? I have excellent credit score and no late payments or anything...
Do you know why Halifax ask for last 3 months payslips and don't actually verify income with the employer (they just write to confirm I work there) or at least this is what the mortgage advisor told me......