Mortgage application rejected, help please ;-)

paulday

Hi everyone

Was just hoping you may be able to offer some advice.

We are in the process of buying a house, but 3 weeks after being told by Nationwide that our application was fine, and after they had already instructed surveyors and conveyancers, they told us today that it has been rejected because my wifes only wage is agency based, shes a nurse and this works better for us due to not having to pay for childcare etc.

Anyway, purchase price of house is 165k, 25k deposit available so need to borrow 140k, joint income around 45k.

Are there any lenders who will accept her working through an agency? Need to try to get things moving quickly again!

Thanks

Paul

Simon_gloster

Some require proof that continuos temping has been in place 18 months, although for obvious reasons they dont like temps.

I feel for you.....find a broker to help.

Dave_Ham

Hi Paul,

As Simon said, typically a broker would be more suitable for this type of case.

Assuming she is not part time, you will require her income and therefore need a more flexible lender.

Length of overall temping in this industry and unbroken agency work will all help towards easing lender fears..

Bit naughty of Nationwide as usually they underwrite upfront, assuming either a broker or advisor in branch tried to get around the issue and got found out...

Good luck

paulday

Thanks for the replies.

The application was all done over the phone, we were upfront with them all the way through and told them all the details, provided payslips and P60 straight away and they then moved on to valuation and conveyancing on the strength of that.

Shes been with this agency for 18 months. Annoying thing is if she had stayed fulltime, she would have been earning less money than now, most of that would have been getting paid to a childminder but they would have given us the mortgage under those circumstances!

Its enough to make you crazy lol.

Paul

Thrugelmir

paulday wrote: »

We are in the process of buying a house, but 3 weeks after being told by Nationwide that our application was fine, and after they had already instructed surveyors and conveyancers,

Until you receive a formal mortgage offer there is no guarantee.

Dave_Ham

I would suggest you take it a little further with them, as if you did not fit policy (and clearly you didnt) why would they incur you cost..

As said, there are lenders that will accept you so all is not lost...

paulday

We've managed to get the search fees refunded, and are trying to get the product reservation fee back, not holding out much hope though.

Are you able to tell us what lenders are worth approaching in these circumstances?

Thanks

Paul

Crashandburn

If 18 months history of continuous agency work, then Halifax would do that

Dave_Ham

Halifax is a banker, although subject to some additional information..

Rates are not that appealing, so you may want to engage a broker to check the market on your behalf...

Well done on first refund, keep pushing them

paulday

Yep we have a broker looking at the situation for us too, he hasnt come back with any suggestions yet but was mentioning all sorts of weird and wonderful ways of trying to sort things so might or might not prove to be useful!

Have phoned round a few today, the most promising of which seemed to be Lloyds TSB, they said that as she was working 18 months with the same agency then it should not be a problem for them, so they are looking into it now for us. Not sure the rate is the best at 4.99% for a 3 year fix, but don't think there will be too many options open to us.

Paul

Dave_Ham

The deal is ok in the scheme of things.

Please heed this warning and be very, very careful when dealing with banks directly.

Many banks staff are targeted by leads and applications only. Therefore when you call up and ask if the one product (set of criteria) they have for mortgages suitable for your situation, what issues have they got saying of course you will be fine come on and see our adviser (them)

C&G have not got a great appetite to lend at the moment and therefore given this would be referred for manual decisioning, I would not like to call it. The person you spoke to takes no accountability...

Assuming you went to this specific broker for a reason, let him/her do their job and try not to get too involved in the sourcing as you are not privy to all of the underwriting implications.

Find (or hopefully) find a good broker and let them do the job they do all day everyday and are qualified, regulated and insured to do.

Would have thought you may have learnt this lesson with your Nationwide experience...

Fingers crossed for you...