We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Lenders that give Mortgages for Tier 1 visa holders

RickyJ
RickyJ Posts: 14 Forumite
edited 19 December 2012 at 1:29AM in Mortgages & endowments
This question could have been posted before, but I thought I get the latest view on the information.

I am a Tier 1 general visa holder that has been renewed/extended recently at which point I will have 2 years until ILR. I have been in the UK for 8 years now, 2 year at same address, 3 years with the same employer, currently employed full time. No outstanding debt and I am currently with Natwest mortgage. Applying single (w/o partner). Currently on LTV 72/73% and Looking for a better remortgage deal on a 75% LVT or even 70% (if I make overpayments) .

I know following lenders don't provide mortgage to Tier 1 holders: Tesco, ING Direct, HSBC, Principality, Leeds BS... So far I've seen Post office, YBS and Nationwide was mentioned as Tier-1 friendly for mortgage deals. Does anyone know any Tier 1 friendly bank/lenders?

Comments

  • RickyJ
    RickyJ Posts: 14 Forumite
    A follow on question:

    If I wasn’t limited for choice of lenders that I could apply for re-mortgage. Then I would have gone for the ING Direct or Tesco deals, as they seem to have the best deals currently on LTV- 70/75%
    Nonetheless the currently deals that I can apply for and that I’m considering are:
    1. Post office: LTV 75% - 2.99% fixed for 5 years, but the product fee 1495 (doesn’t included free valuation and legal fee). 10% of outstanding mortgage. 5% early repayment charge.
    2. Yorkshire building society: LTV 75% - 2.99% fixed for 2 years, but the product fee 495 (includes free valuation and legal fee). 10% of outstanding mortgage. 3% early repayment charge.
    3. Nationwide: LTV 70% - 2.69% fixed for 2 years, but the product fee 999 (includes free valuation and legal fee). Overpayment of £500 per calendar month only. 3% early repayment charge.
    4. Nationwide: LTV 70% - 2.89% fixed for 3 years, but the product fee 999 (includes free valuation and legal fee). Overpayment of £500 per calendar month only. 4% early repayment charge.

    I would like your views/ advice on the re-mortgage deals above and whether I should go for 2/3/5 year fixed?
  • CKhalvashi
    CKhalvashi Posts: 12,134
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Forumite
    I've placed several non-money bets on here, that the rate will rise around April 2013, so you'll be best going for a longer fix, as it's less of a risk (This is my opinion only, and not based on anything official).

    A longer fix will also give you the security of knowing what you're paying each month for a longer period of time, whereas if rates were to rise dramatically over the next 2/3 years, you may well be struggling to keep up with payments.

    A longer fix will also mean (I've been through this with OH about 7 years ago) that you'll hopefully have either ILR or British Citizenship next time round, making remortgaging easier.

    CK

    ETA: We were mortgaged with HSBC, so if I were you, I'd check on the visa conditions, as we didn't have a problem.
    💙💛 💔
  • RickyJ
    RickyJ Posts: 14 Forumite
    Thanks CKalavashi,
    I’ve checked with HSBC several times. Their customer service agents over the phone have suggested that I require ILR to apply for any of their mortgage deals.  So unfortunately I can’t apply to HSBC on a T1 General Residence visa.
  • koexelek
    koexelek Posts: 7,847 Forumite
    Santander ( Abbey) are pretty good at this sort of thing... as long as you get a decent credit score
    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.
  • CKhalvashi
    CKhalvashi Posts: 12,134
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Forumite
    RickyJ wrote: »
    Thanks CKalavashi,
    I’ve checked with HSBC several times. Their customer service agents over the phone have suggested that I require ILR to apply for any of their mortgage deals.  So unfortunately I can’t apply to HSBC on a T1 General Residence visa.

    It would seem they've tightened up their belts, which is a shame as they always seemed t be cheapest.

    CK
    💙💛 💔
  • koexelek
    koexelek Posts: 7,847 Forumite
    CKhalvashi wrote: »
    It would seem they've tightened up their belts, which is a shame as they always seemed t be cheapest.

    CK

    They very much like to cherry pick though.... don't want anything out of the ordinary :o
    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.
  • RickyJ
    RickyJ Posts: 14 Forumite
    Thanks for the suggestion koexelek. I checked with Santander, I fit within their criteria and my T1 general is fine.

    Now the question remains whether I should go for Santander's/YBS 2 year or Post office's 5 year fixed?

    I like the 5 years as I would be secure if interest rates go up. However my only concern with a 5 year mortgage deal is what if I decide during that 5 year period I want to rent my property. Will Post office accept the consent to let? And I hope they don’t charge me hefty fee for it.

    ******************************************
    1. Post office: LTV 75% - 2.99% fixed for 5 years, but the product fee 1495 (doesn’t included free valuation and legal fee). 10% of outstanding mortgage. 5% early repayment charge
    2. Santander: LTV 70% - 2.69% fixed for 2 years, but the product fee 995 (includes free valuation and legal fee). 10% of outstanding mortgage. 5% early repayment charge
    ****************************************
  • Hi All,

    My first post on this website.

    I have been researching about companies which may provide mortgage to tier 1 visa holder.
    My current situation:
    Tier 1 visa holder (5 Months left on visa before i apply for ILR)
    Living in the UK for 8.5 years including my student years.

    HSBC: provided AIP but mentioned cannot provide a mortgage before ILR.

    Nationwide: provided AIP but asked for 25% deposit

    Halifax: Provided AIP without any restriction.

    LLOYD: Needed 6 Months visa
    Sanatander: needed atleast 2 Years visa
    Natwest: Unable to provide.

    My offer for a house has been accepted today and i am worried considering my current visa situation that whatif HALIFAX and Nationwide see my current status as a weak point. I have made it clear about my visa situation to both HALIFAX and Nationwide. I was wondering if you could help me with your expert advice on other Mortgage provdier who are generous to provide mortgage to people like me. I need for a backup/contingency options.

    I am up for 25% deposit and hope I have a good credit score. I am looking for a property in the range of 150 K.

    Any expert suggestion will be appreciated.

    Thank you.
  • amnblog
    amnblog Posts: 12,791
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Forumite
    Don't hang about if you don't want to have to deal with a new process with these lenders.
    I am a Mortgage Broker

    You should note that this site doesn't check my status as a Mortgage Broker, 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.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 355.7K Banking & Borrowing
  • 254.9K Reduce Debt & Boost Income
  • 456.1K Spending & Discounts
  • 248.3K Work, Benefits & Business
  • 605.8K Mortgages, Homes & Bills
  • 179K Life & Family
  • 263.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.2K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.