HSBC - Is it really impossible to get a mortgage?

kingstreet

Nope.

First time buyers (FTB)

To qualify for a FTB product, one applicant must not have previously bought or owned a property (including inherited/bought for cash).

http://www.halifax-intermediaries.co.uk/criteria/mortgage/default.aspx?filter=F

amnblog

'one applicant'

I think this is a little generous from Halifax.

horngkai

slightly confused here. So being that the wife is a FTB, that will technically qualify for Halifax's 'one applicant' being a FTB isn't it?

amnblog

KS has placed the actual wording above.

Any applicant on the case who has not bought or owned previously would qualify the case.

kingstreet

Yes. That's correct.

As long as one applicant out of two (or more) has never owned a property before, they qualify for the FTB incentive products.

horngkai

I know kingstreet has posted the actualy wording, just trying to confirm that is the case.

Any idea if any other lender have such policies?

kingstreet

It varies from lender to lender. Some have a time limit, such as not owned nor had a mortgage in the last year, three years etc.

You'll have to canvass each one.

billchecker1

Right, im really sorry but work has got in the way of things so haven't had time to crunch the figures. I know that it is no excuse due the importance of getting this right. I have written all this down to give people an idea of my decision making process and also to simply get my thoughts down on paper.

The truth is I was walking past Halifax and saw the stamp duty offer being advertised in their window. As I stand to gain nearly the maximum amount I enquired within the branch. It was checked twice that as a couple we are able to take advantage of this offer due to my wife never having had a mortgage. I have over 37 years left so I asked for the maximum. This allows me to overpay with the option of lowering it to the minimum should any emergency arise.

So as I see it, I have three options to compare like for like I have done the following:

All are 2 year fixed rates ending in August 2015 and the booking fees are virtually the same (£5 difference between HSBC and Halifax).

Extra fees are
Completion fee: Halifax £265 and HSBC £30
Valuation fee: Halifax £430 and HSBC £197

1) HSBC
Over 30 years the monthly repayment at 3.64% is £989.
Two years cost = £23963

2) Halifax
Over 36 years the monthly repayment at 4.49% is 1007.97
Two years cost = £24486.28
Take off the stamp duty refund (2430) = £22056.28

3) Halifax
Over 30 years the monthly payment at 4.49% is 1091.23
Two years cost = £26816.52
Take off the stamp duty refund (2430) = £24386.52

So in effect Halifax appears to be cheaper. I have passed the AIP but have gone no further at the moment as my HSBC mortgage was approved only on Friday.

What to do>?

Clearly the like for like difference is not worth it as It costs more.

However the 36 year to 30 year option is £1906. I am of course free to move at the end of the two year period.

As it is over 36 years then I assume that I will pay less of the capital off.

Is anyone able to help with this? Is it even worth changing at this stage? My seller has no house to move to at the moment so speed isn't an issue but then the non-refundable costs for the valuation are higher should something go wrong. I just don't know what to do.

Thanks in advance

headgirl49

billchecker1 got to any library and they let u print for 5p

billchecker1

headgirl49 wrote: »

billchecker1 got to any library and they let u print for 5p

Sorry I'm well ahead of that.

Lloyds gave me all the statements gratis. Result.