Anyone want to join me? Awaiting Mortgage decision...

SecretSanta1973

My recent experience is similar to that of above self employed / SME. We had a further advance from Barclays for renovations approved in principle by the mortgage advisor (i.e. computer says “yes”) which would have kept us below 60% LTV even before the renovations (about 35% after). Even to get this far we had to confirm we had the cash to cover our existing interest-only mortgage in full (luckily we do), because historic interest-only are a huge risk apparently. Our work on our house is 80% finished, this additional loan was just to help cash flow on the remainder. Despite having the cash to cover the loan (we didn’t want to empty our savings too far which seemed an unnecessary risk) the Barclays underwriters have turned us down, not because of low self employed income (I have 10 years consistent history) but because we bought an electric company car last year and HMRC allow us to offset that against profits in Year 1 thus making our profits look artificially low. We’ve therefore been punished for legally minimising tax by buying the car through the business (which government encourage us to do with their tax policies) instead of as a personal purchase. I wanted to share the story because my heart goes out to those needing loans and some of these tripwires are not well understood - we could have simply deferred the car purchase if we had known, we are middle aged and OK financially, so refusing us makes no sense, it just gives us a short term cash flow headache but at least we already own our home and have zero risk of negative equity. The self employed are not getting any breaks currently, especially those running limited companies.

carriesmonkies

We finally got our mortgage offer with Nationwide at 7am this morning.  It’s been a really long wait.

85% LTV and we’re first time buyers.  I work for the NHS on a permanent contract and our application amount was well under our affordability so we thought things would be pretty plain sailing. 

We were wrong.  Some of our deposit was coming as a grant from the local council and Nationwide’s systems didn’t like this so part way through the process they decided that we need to submit a new Right to Buy application even though we aren’t council tenants and aren’t buying a council house.

MIP 17/06/20
Offer accepted on house and full application submitted 30/06/20
Survey completed 08/07/20
Survey approved 09/07/20
Nationwide asked us to complete a new application which was submitted on 16/07/20
Various requests for new documents throughout the next couple of weeks.
Mortgage offer received at 7am 05/08/20!!!!
We can now finally start packing and set a moving date!

firsttimebuyerlpl

carriesmonkies said:

We finally got our mortgage offer with Nationwide at 7am this morning.  It’s been a really long wait.

85% LTV and we’re first time buyers.  I work for the NHS on a permanent contract and our application amount was well under our affordability so we thought things would be pretty plain sailing. 

We were wrong.  Some of our deposit was coming as a grant from the local council and Nationwide’s systems didn’t like this so part way through the process they decided that we need to submit a new Right to Buy application even though we aren’t council tenants and aren’t buying a council house.

MIP 17/06/20
Offer accepted on house and full application submitted 30/06/20
Survey completed 08/07/20
Survey approved 09/07/20
Nationwide asked us to complete a new application which was submitted on 16/07/20
Various requests for new documents throughout the next couple of weeks.
Mortgage offer received at 7am 05/08/20!!!!
We can now finally start packing and set a moving date!

Ahhh many congratulations!!! Such a long timescale. Sounds a nightmare. We are still waiting on an offer. The valuation was done last week but apparently they haven’t received the report yet. 

lemliss

Updated timeline for ours now 

Where we are at with ours (Nationwide)
Dip - 2nd July - accept 
Full application- 8th July
Requested payslips and ID - 9th July
Valuation booked on 13th July for the 20th
Hard credit check - 19th July
Valuation-  20th July
Requested further documents (letter confirming I am back from furlough leave) - 22nd July 
Requested July payslip confirming I am back from furlough (despite having employment letter) - 27 July
Found out valuation had not been carried out as needed to be a physical one - 28th July
Valuation rebooked for a weeks time-29th July
Physical Valuation carried out - 5th August

SierraRomeo30

*sigh*

Working day 25, still no news. So. Fed. Up. I hope all this waiting is worth it, the longer it goes on for the more nervous I’m getting 🙈.

carriesmonkies

SierraRomeo30 said:

*sigh*

Working day 25, still no news. So. Fed. Up. I hope all this waiting is worth it, the longer it goes on for the more nervous I’m getting 🙈.

We got our offer today after 26 working days so don’t lose hope.

it will be worth it! Good luck 

firsttimebuyerlpl

Tried to speak with NW on live chat today but they just told me to call and won’t give me updates on web chat for some reason. More waiting 

thaddy

carriesmonkies said:

We got our offer today after 26 working days so don’t lose hope.
it will be worth it! Good luck 

Wow congratulations! We have no news yet and each day of waiting now feels like a whole week 

hughes1497

Would love to hear what people think of my situation!

14th July - application submitted
17th July - valuation schedules and provided same day (Scottish home report) 
24th July - requesting further documentation (provided same day) 
28th July - documentation still outstanding even though provided
5th August - called nationwide myself for update as MB is useless, apparently he uploaded document again yesterday so case has been put to back of queue for review. Current service levels are 8 working days for document review. I’m so stressed. We were supposed to complete on 7th August (this Friday) but no chance of that happening  

thaddy

hughes1497 said:

Would love to hear what people think of my situation!

14th July - application submitted
17th July - valuation schedules and provided same day (Scottish home report) 
24th July - requesting further documentation (provided same day) 
28th July - documentation still outstanding even though provided
5th August - called nationwide myself for update as MB is useless, apparently he uploaded document again yesterday so case has been put to back of queue for review. Current service levels are 8 working days for document review. I’m so stressed. We were supposed to complete on 7th August (this Friday) but no chance of that happening  

If you tell them your completion date can they not escalate your case? It may be worth asking your MB to speak to a business development manager to see if they can fast track it. We live in the property we are trying to purchase so I guess there's no real rush.