Mortgage chance

queenstown1312

Hi everyone,

I was wondering if I could get some advice on what my chances are of getting a mortgage before I get my hopes up of being able to buy somewhere.

Me and my partner are hoping to buy a flat together in the next six months. The problem is that he is self employed and has only been so for about six months, so we know that the chances of him getting a mortgage are slim to none. However we have been on some banks sites and it looks like we could potentially get a mortgage on my salary alone.

I just want to know how likely this is? we are looking at properties of around £128,000 with a 10% deposit. I have a salary of £31,000 and the calculators seem to suggest that I could borrow the amount that we would need.

Are there different requirement for single applicants? I am a first direct customer and their 90% mortgage rates look good but I understand their criteria is quite strict.

I currently own another flat so I am not a first time buyer, however the person I own this flat will move the mortgage into their and their partners name before I apply for a new mortgage.

I am guessing the best bet is to speak to a broker but I thought I would see if anyone could offer any advice

Thanks

harvey115

As soon as you are moved off your existing mortgage and do not have any debts + regular commitments, you should be fine on your own name. You should get your name off the mortgage as soon as possible because this will be showing in your credit hist for the time being and also on your bank statements.

You are right to say your partner would have very slim to no chances in getting a mortgage due to being self employed for so little time.

queenstown1312

Thanks for your advice harvey115, that's really reassuring.

Do you think the amount we are looking to borrow is realistic in terms of my salary?

JPDurand

Hi There.

Once you are removed from the existing mortgage, you should qualify for a new mortgage based on your salary alone. This is obviously assuming you do not have any bad credit or other fixed expenses or liabilities.

Your partner will not qualify for a mortgage at all. Most banks require a minimum of 2 years trading accounts / tax returns.

If you want to have your partner on the Title Deeds, they will HAVE to be on the mortgage. They can be listed as a non-contributing partner, but banks may see him as a dependent and reduce the total amount they will lend based on that.

If you are happy for him NOT to be on the Title Deeds, you will just have to declare him as an occupant over the age of 17 as this is a requirement.

Hope that helps.

queenstown1312

Thanks JPDurand, again really helpful. I don't have bad credit, the only issue that seems to pop up on my credit report is that I have recently had some credit searches on my file. This is because I have changed credit card and current account. I have no outstanding debt other than the current mortgage I am on

I think he will not be on the deeds as I don't want him to be classed as a dependent.

Would you recommend going through a broker?

GMS

JP you need to display a signature stating you are a broker and you cannot tout for business. It's against forum rules

JPDurand

Noted. Thank you GMS.

I am a Mortgage Adviser

You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.

DVardysShadow

JPDurand wrote: »

Noted. Thank you GMS.

I am a Mortgage Adviser

You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.

The bit about being a mortgage adviser should ideally be in your signature, not in the text of your post. It will save you being pulled up for forgetting.

Set your signature in the User Control Panel.