Halifax mortgage offer - advice needed

LetMeOut_2

Hi,

We applied for a mortgage of £120,000 on a £320,000 property. The remainder of the purchase price is cash.

We are having a four way mortgage. The principle applicant income is £34,000 and the second applicant is £51,000.

Neither of them has any late payments or defaults.

Only two incomes are being assessed, but since the property will be in four names, the mortgage will also have the other two owners named.

The third applicant is retired with a monthly income of £1,300, and no late payments or defaults.

The final applicant has an income of £32,000, however has had 3 late payments in the last 12 months and a satisfied default from 5 years ago.

Halifax have agreed in principle to the mortgage according to the broker.

Just needed any advice if anyone has experience whether there are likely to be any problems with underwriting.

Thanks.

LetMeOut_2

It's a new build house if that makes any difference.

LetMeOut_2

Have sent copies of everyone's credit check to the broker so hopefully he should have an idea!

Wh05apk

I think you should be ok, provided the late payments and defaults are declared, if Halifax find out later they will just decline.

You have a low loan to value and good income so credit score wise, the adverse should be outweighed by the good.

No way of knowing for certain till a full app is submitted.

Conrad

3 late payments in last 12 months would usually lead to a decline by Halifax.
Check the adviser genuinely has run an aip in 4 names - and not just in two.

Halifax have strict maximum ages as term end - how old is the oldest applicant and what mortgage term has the adviser said is available?

You say one is retired which tells me they are perhaps above 60, so Halifax will offer you a very short term indeed which would impact on affordability calculations.
Is the broker now asking for nice fat fee? If so - check your credit files and see if 4 people have been searched - I'm quite suspicions the broker is leading you up the path.

Thrugelmir

LetMeOut wrote: »

Only two incomes are being assessed, but since the property will be in four names, the mortgage will also have the other two owners named.

All parties will be assessed as to their impact on the mortgage. As it's not merely a question of who is paying the mortgage. But the implications with regards to a considerable number of what if scenario's. All 4 parties will hold title.

LetMeOut_2

Hi, just to let you know we had the offer letter from Halifax back within 2 weeks of it being sent.

Doesn't appear to have been an issue, and the offer is good until the end of the year as we don't complete until October/November when the house is finished.

The broker didn't think there would be as issue as the mortgage was only for £120k on a £320k house with a lot of income.

Thanks for all the responses!

LetMeOut_2

Oh and th term is 17 years which is until the oldest person is 75.