First time buyers Mother and son - Advice Needed

Senior_Paper_Monitor

Hold on !!! Are both you and your mother tenants in South Ayshire - as in Scotland ?

Conrad

I only mentioned GE off the cuff on doing a very quick search, I did say subject to full details being needed. I thought myself GE didn't do RTB and was a little surprised it came up on mortgage brain software.

Incidentally I've had some PM's - people slightly humpy asking why I never mention lenders names so I suppose my judgement was a little impaired.

Mu honest instinct is this case needs a year of settling down prior to application. Rent arrears are a no no. Just paying them off prooves nothing. Lenders want a term of good payment history under the belt where RTB is concerned.

harvey115

I remember a person applying for a mortgage got declined recently because the lender asked the Council to provide a reference. The Council worker told the bank that the account is always in arrears due to the fact the tenant was paying rent at the end of each month.

I guess lenders have a habit of asking reference from Council on RTB schemes.

Senior_Paper_Monitor

Both Trigold and Mortagge Brain sourcing is dubious on their standard filter - we maintain a separate RTB panel (and go through the grief of validating each month).

I agree fully with your comment about the year to settle down - this case sounds like 'a project'.

The Scottish issue is also considerable - apart from some of the RTB lenders 'not going there', the RTB rules are considerably more difficult and the maximum dicsounts lower. We generally 'don't do' Scottish RTB becasue its so different - and in most cases less advantageous.


Harvey - all lenders take Council rental references for RTB

tj130289

Yes we are both tennents with south ayrshire council

I have today posted off to get credit reports for me and my mum

Will let you all know when i get them.

Also when asking for a refrence from council will they just give it based on my mums address or will my years of always paying on time at another council house stand for anything?

Thanks

TJ

Senior_Paper_Monitor

Interesting question - never had anyone apply in quite the circumstances applying to you.

If immediate I would try to ensure ensure they do both (if both on mortgage).

If its going to be in a years time - then its possibly academic.

Frankly, what a good broker would do with this is dicsuss it with their Busienss Development Manager or similar once a receptive lender is found and take guidance from there.

beecher2

I take it your mum doesn't live in any of the pressured areas of S Ayrshire which have had the RTB suspended until 2016? Areas like Heathfield, Glencairn, Belmont, Kincaidston etc - not sure where else off the top of my head.

tj130289

Yes she does but as her tenancy started before 2002 pressurisid area status does not apply .