Halifax Mortgage Declined

MrsCtobe_2

Fingers crossed Experian are a little quicker off the mark this time (I did include a covering letter explaining we thought the association may be having a detrimental impact on a pending mortgage application)! We really don't want a big delay on this as the house is being built as we speak, however as a last resort we may just have to proceed in my name and later when we remortgage, add my other half on.

(That's assuming the issue is definitely relating to his file, and not mine! We're still playing a guessing game as we actually don't know for sure what the real issue is. Hopefully come Monday we'll be in a better position).

Re having no interest in consumer reports, I'm not sure what you mean? We were advised that it was something "adverse" on one of our files through Equifax, and the under-writer "alluded" to it being on my other half's file.

Having read a fair few posts on this site, it seems a lot of false promise and hope is given by some brokers / lenders, perhaps a little too freely. This is my first mortgage and I (albeit naively!) trusted the assurances (and AIP!) we were given.

We don't believe a financial consent order was agreed at time of divorce. Other half isn't familiar with this term.

Slightly off the subject, but could anyone offer any advice on if we were to proceed in my name only, would there be any way the lender would take into account my other half's financial contribution to the household?

Although my income should be adequate (borrowing potential based on my salary only is a fair bit higher (£85k) than the LTV we require), all outgoings are and will continue to be paid by us both. So although only one income will be considered on the application should we proceed in this manner, the expenditure will be reflective of and paid for by two people.

If we were to reapply with a single application, should we half all outgoings on the expenditure / outgoings section so that it does not appear as though I myself will be paying for full / double expenses associated with the household (with the exception of the mortgage repayments of course!)?

Hope that makes sense...

SouthCoast

You may like to make some searches at The London Gazette and The Registry Trust.

MrsCtobe_2

Thanks for your reply.

Please could you clarify what I should try searching for at the Londong Gazette or Registry Trust.

kingstreet

Please could you clarify what I should try searching for at the Londong Gazette or Registry Trust.

County court judgments and bankruptcies.

would there be any way the lender would take into account my other half's financial contribution to the household?

No. If you proceed in one name, you'll carry all the affordability hits and have none of the other party's income taken into account.

MrsCtobe_2

Ah ok, I see. Thanks for the hint.

I've done the sums, and when all outgoings taken into account (from full mortgage payment, to haircuts, to savings, to car, food, socialising, life insurance - all the good things you have to list on the form), and worst case scenario if lender looks at my net income as PAYE (which I'm not), I would still be left with absolute minimum of 25% of my salary free each month.

Really hope that this would be adequate / meet criteria, should we be forced into going down the single application route.

Thrugelmir

MrsCtobe wrote: »

We don't believe a financial consent order was agreed at time of divorce. Other half isn't familiar with this term.

Where are assets and liabilities divided up and settled. Loans, mortgages , overdrafts etc. In a legal form.

MrsCtobe_2

Not sure about a form, but all joint credit agreements / accounts were split and settled via solicitors.

MrsCtobe_2

Hello again,

So had it confirmed yesterday that the issue is definitely with my other half, but still no further information as to what the actual issue is. Other half has spoken at length with both Experian and Equifax who say there is absolutely nothing adverse on his credit history, and have advised that it could well be the financial association that has caused the problem.

Anyway on a positive note, Halifax have given the "green light" (broker's phrase again, not ours!) to proceed with the application in my name only. Salary and affordability both fine, as is my credit score and history. (I assume the reason they have advised to proceed with single app is that they are confident in it being approved?! - although perhaps this is my naivety getting the better of me again!).

Seems we just have to play the waiting game again for now.

Does anyone have any idea how long it may take to have a decision? They have already searched my credit file three times since our original application was submitted (albeit two of those were soft searches), and we have our valuation back.

Just so close to securing our dream home, yet always have this feeling of dread / anxiety lingering over us whilst we await our fate!

It seems insane that we have to go through the rollercoaster ride that this has become, when we both have immaculate credit histories and no issue with affordability (in fact we will be £500 better off each month as mortgage repayment is much lower than our rent)!