Halifax mortgage declined

rockall81

Hello,

Below is my status when one of the mortgage advisers from Halifax accepted my application. Trouble started after pushing the application through underwriters.

1. I am self employed, willing to provide 2 years audited accounts.
2. Mortgage required 200k
3. Deposit 25%
4. Year 1 salary 16km Year 2 salary, 29k year 3 salary 60k (current year,2012)
5.Application is through single applicant.

My application is not rejected, But its not progressing from 8 weeks, it just hanging in there coming back with more proof/document request from underwriters, considering the amount of time i spent i have now come to conclusion that , spending any more time with Halifax is a waste of my time.

I have no past history of bankruptcy or Bad credit history or anything like that..

Just need some advice.!

Thanks for the help in advance.

Thrugelmir

From the information you've given. The obvious question is why the wide variation in earnings?

Are you a contractor?

Dave_Ham

Boy - I wish you had seen a good broker first.

Ok, Halifax are well renown as the more flexible of the traditional highstreet banks and I am surprised that they have not acted quicker.

I would suggest an inexperienced broker or inexperienced advisor in branch/telephone - In actual fact I will take a punt on the Halifax call centre directly..

No banks like to see stepped income in this sort of multiple as it makes them feel nervous.

I would say good on you, driving your business forward - however not the view the banks take.

Some banks will work off of latest year (not too many actually) some a mean average of last 2-3 year and some the lowest of the last 3 years and hence my initial response regarding an experienced broker.

Good luck

handytips

Totally agree with the above. There are two lenders who will work off the last years audited accounts with a 25% deposit, and your scenario should be absolutely fine, as long as your accounts are prepared by a certified accountant, you are on the voters roll, and you have a good credit profile. This sort of case would be at offer within 10 days if handled by a good broker. Good Luck

rockall81

But the latest year 3 salary is 2012, i.e 2011 March to 2012 March, is that ok ?

I can audit it from my accountant. This what halifax has said finally where i decided to leave them thinking that its a waste of time.

1. We will need 2012 tax return to be completed, I think this means self assement?

2. Letter form accountant why this has increase significantly

3. The comapany which i own is through partner ship, so bank needs a guarantee that the deposit that i am going to pay through the company is not detrimental to the companies future.

opinions4u

So your most recent audited income is £29k. As it stands you're looking to borrow seven times income.

That's why they want you to jump through a couple more hoops.

rockall81

So what i need to do? Still go through a broker ? or keep quiet for a year?

Dave_Ham

Hold on Tommy - did you tell them that your deposit was being paid by your company?

I think I am right - come on put me out of misery - this has Halifax Call Centre written all over it???

You will get some good general information and words of wisdom on this forum, although you do really need to sot down with a broker or speak to a broker who is experienced.

This all sounds feasible (ish) but you need some decent advice

rockall81

Ok i agree i screwed this up, I will try again.Thanks anyway.

Dave_Ham

I was not trying to kick you when down, moreover point out that you have options and just to get the right advice..

There are plenty more lenders out there, so do not worry hugely..

Midlandcanary

gutted thats not great!