Porting mortage nightmare!

inamortgagepickle

We have been in the process of trying to port our martgage for the last 9 weeks, after various 'yes of course', 'that'll be fine' with the sales dept and then the person handling our case our lender keeps changing their mind and asking for more and more proofs of income, despite the fact we have always paid our mortgage, have built up a £7k overpayment fund and earn more than we need for the borrowing?

Culminating this morning with a conversation asking why we are moving out of london when 'we seem to have everything sorted here?', how long my husband's new commute will be and for letters for the third time from my husband's employer and a company he is a shareholder in.

We are pretty :mad::mad::mad: about the whole nightmare... however, while all this has been going on my husband has been offered a new job, which of course just complicates things further. We still need/want to move and still need to port the mortgage, but if he takes this job (which will increase his salary) we feel we are even less likely to get them to port our mortgage. But also we feel we can not keep asking his current employer to write surety letters when he is actually about to hand his notice in:o

Anyone any advice?

Would a new lender give us new a mortgage based on a firm job offer?


TIA

Dave_Ham

Hi - How good is the rate you are trying to port and do you have early redemption penalties?

We probably need to start here...

kingstreet

... and to point out you can only port the rate from an old mortgage to a new one. You can't transfer a mortgage from one property to another.

You don't get any guarantee the lender will give you a new mortgage. You have to meet income, affordability and credit criteria just like you did when you took out your last mortgage.

As Dave asked, what's the rate and are there any ERPs?

inamortgagepickle

there are ERPs, rate is 3.69 fixed for 4 years.

I think the thing that we are finding strange is that we now earn more than we applied last time, have as good, if not better credit rating and aren't wanting to increase our borrowing at all?

The bank though have this time refused to accept a portion of my dh's income as it is one his payslip as 'pension allowance' (despite the fact that another chunk is also removed on same payslip as pension contribution. They will also only accept 1/2 of his 'car allowance', despite a letter from his company stating that both allowances form a permanent contracted part of his salary.

kingstreet

No lender wants to be the first to pick up the FSA's "irresponsible lender" tag, so over the last couple of years they've tried to look more prudent by scaling back income they'll take into account and adding more outgoings to their affordability models.

Santander is probably the most notable member of the club involving the outgoings as its recent changes have indicated.

Now, you'll struggle to get more than 60% of an allowance, or overtime taken into account.

Nationwide and Halifax will both lend during probationary periods and it's possible one of them might take an application based on a written offer.

In the circumstances, a meeting with a whole market or independent broker might be your best bet.

opinions4u

inamortgagepickle wrote: »

I think the thing that we are finding strange is that we now earn more than we applied last time, have as good, if not better credit rating and aren't wanting to increase our borrowing at all?

Have you seen any news bulletins since the Autumn of 2007?

The_J

Shall we play guess the lender?

Shotgun Santander.

Reading over it it sounds like there was always going to be a new job, you thought you might be smart and not mention it. The lender has rightfully queried it. Ironically a confirmation of employment from the new employer would have been fine originally I expect but now, as it appears you've been deceitful, it may not be.

inamortgagepickle

Nope new job very new development after being headhunted in last two weeks.

And I have read headlines since 2007, but we got our last mortgage in 2010.

And strangely lender isn't Santander but a bank who describe themselves as co-operative

I think we shall speak to an independent broker. Thank you for your help

The_J

Tell them about the job offer. Nothing to lose.