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

zv13424

zv13424 said:

Jamaicanmelaff said:

heston2014 said:

Jamaicanmelaff said:

zv13424 said:

Jamaicanmelaff said:

zv13424 said:

Mortgage offer received yesterday after valuation Thursday. Unfortunately they’ve valued £10k less than our offer.
Sellers are willing to go £5k lower but not £10k and would prefer to put it back on the market. 

What would you do? 

Ooh yours was fast! It’s a positive that your seller wants to meet in the middle, but I guess it depends on lots of things. Is the house your dream house and do you think it’s well-priced for the area? Can you even afford the extra 5k yourself? How long are you planning on living there/will it be long enough to reassure you that you’ll still make a profit if and when you need to sell?

Thanks for your reply. I think it’s well priced for the area to be honest. I was surprised at the downvaluation. 

I have to admit I’ve fallen in love with it, I think my partner is being more cautious though. 

We could afford the extra £5k and wouldn’t be looking to sell in the next 5-10 years anyway.

I suppose it’s more a concern about buying a property for more than a lender has valued it at. Is this even something to be concerned about?

Honestly, if it was me, I loved it that much and planned to live there for a long time I think I’d probably meet the seller in the middle and go for it, at least if the same happens to me I will (but the house I’m buying has already been mine in my head since March so even though I’ve tried not to get my hopes up I’ve made so many plans for it). You’ll be starting in negative equity compared to the valuation but only slightly, and you should be there long enough to counteract that even if house prices do fall for a while. Also factor in other costs such as are you renting and if so how much it will cost you to continue renting while looking for another house etc. Maybe take another look on Rightmove etc and see if there are any other options for you. I’m just saying what I would do btw, it’s not necessarily the right choice. Ultimately only you and your partner can make the decision. At least it’s not a massive difference so you have a choice either way. 

I would probably do the same IF I loved it that much AND planned to live there for a long time.
However, circumstances change all the time.  What if the property value doesn't recover for a while and you're stuck with negative equity and your circumstances change which may force you to sell up? It can happen.  If the property is in a good area and you are confident that it will sell quickly, then I guess go for it.
If you can afford the additional £5k and it's your dream home, only you and your partner can decide.
We made an offer on a property that was on a market for months, our offer was low because it was our absolute max.  House needs a lot of work but we saw lots of potential to put our own stamp on it and our long time family home.  Vendor rejected our offer twice.  We walked away but kept an interest in the property that if it still didn't sell, our offer still stands.  Surprisingly, they eventually considered our offer and now we're anxiously waiting for our mortgage to be approved.  Way I see it, if it's meant to be, it's meant to be. Be prepared to walk away and don't overstretch your finances as no one knows what the house market will be in the years to come. Negative equity and overstretched finances on one hand OR walk away and wait for the right house to come along.  If this is the right house for you, then £5k it is. :-)

Yeah, that’s why I asked those things specifically. No way would I do it if I were already compromising on the house or if there were very similar properties available in the area for a lower price or had my doubts about it. I agree with your points about over-stretching and negative equity too. I think it will also depend on if you stand to lose any money by walking away at this stage and how much you might pay in rent while looking for another place if it takes X amount of months, but again those are things only the poster and their partner will know and can decide on by weighing up.

In my case, obviously I’m hoping the valuation doesn’t come back lower anyway, but it’s a really unusual property right in the centre of town, which is helpful because I can’t drive, with a huge garden and so much potential. I know there are other amazing properties, not nothing quite like it in the perfect location type thing because I’ve been looking on Rightmove for the last 18 months while building up a higher deposit cos I’m self-employed and buying solo so wanted to be in the best position but could move immediately with a lower deposit if I found something spectacular (staying at my mum’s in the meantime so no rush). Even then it would depend how much the difference came back as. A few/five grand I’d be willing to do cos I’m getting the house for a good price anyway, but I wouldn’t do more than that, and I’m head over heels in love with the place I’m buying. 

Thank you for replies everyone.
Its I’m quite a desirable area and needs no work / everything is modernised.
its also not overstretch us at all. We could get accepted in principle for £150k more than this property and our current rental is £200 a month more than a potential mortgage.
Suppose I was just worried it wasn’t normal to offer over a valuation (FTB situation) everyone keeps telling us different things 

Just a bit of an update in case anyone is interested.. Spoke to estate agent and put in an offer of £178k. This has been accepted. 

So we can carry on with everything now!

watch3r

SierraRomeo30 said:

I’m joining, what a nerve wracking time. We were going to do the Family Springboard Mortgage with Barclays so we did the Affordability Assessment and were told to look at properties no more than £180,000. They don’t do a AIP alongside the scheme so we were told to go away, put an offer in and return once approved. So we’ve done that, offer accepted at £173,495.

Family have generously gifted us 10% deposit so we can avoid the SpringBoard Scheme and go with a regular mortgage application. We’ve gone with a recommended broker who is supporting us with the application. However he applied to two banks (soft check) and it was declined (he was expecting it to but gave it a go as interest rates were low). Submitted a full application to a 3rd provider which has been referred. The broker says our income, credit score etc is fine. But it’s flagged up on his system that the debts we’ve recently cleared (and some transferred to 0% interest credit cards whilst we pay above the minimum above) are not reflected on the check so it looks like we have double the debt than we do. Our broker is confident it will easily be explained as these are things we can evidence but boy it is stressful. The application only went in yesterday (Friday 3rd July) and I’m already on edge waiting for a response. Trying to not get our hopes up but it’s hard isn’t it, to put an offer in on a house means you become emotionally invested by imagining your stuff in there, to be rejected will be a blow. Fingers crossed all xx

It actually is nerve wrecking .
we viewed a house back in March and the Estate agency said we need AIP etc and recommended a broker they work with . Ok so 2 h on the phone all ok someone made an offer... because of Covid the 5 and 10 % options ware out we decided to go with HTB .
after some drama with mortgage brokers we went with Barclays .
so you apply for HTB - wait 5 days . Yay 😀 you have ATP ( HTB will give you 20%) of to Barclays . Applied on 30/06 all the check done and passed yay 😀 application send and declaration signed on 2/07 got our rate 1.81 5 y fixed and monthly payments ( happy with those ).
now we wait for underwriting ....
then we wait for valuation....

Then for offer ....
then for HTB to final approve ...
then we can exchange 
then we can finalize 
and probably couple More gray hairs , wrinkles And pounds less we get the keys .

moo313

Kiwistrawb1990 said:

moo313 said:

Clare128 said:

For info to those still waiting, our buyers finally received their Offer from Natwest exactly 4 weeks after their valuation. Thank goodness we are all set to go now.

Its well over a week since my valuation was performed by Natwest. it sound like I have a long wait ahead of me.

Are you self employed? We had our offer fast after our valuation, 3 working days if I remember rightly

No, I am full time employed. There was some initial confusion about my current salary so they wanted more monthly salary slips. I even sent them a letter from my employer confirming my salary as well.

Then they told me due to my service charges they can only offer me less due to affordability issues. My broker informed Natwest I'll reduce my credit card balance by 50% in order to meet their affordability requirements. All of this was done on the 26th of June. Since there everything has gone all quiet, the online application shows everything as ticked under the assessment stage. 

The funny thing Natwest appointed solicitors have already contacted me to kick off the conveyancing side of things. Which has having done by returning forms they have asked me to complete and sign.

fiision2020

This is my story so far:
18th June offer accepted on a property ( I already had a previous AIP with HSBC)
19th June AIP/Full application with Saffron Building Society via broker
22nd June Solicitors instructed to carry out searches.
30th June Two pieces of information already given to the lender had to be resent
1st July Additional information given to lender regarding income and expected outgoings
I was told from the 19th June that Saffron were 12 days behind on valuations. Its now 5th July and as far as i'm aware the mortgage application has yet to be seen by the underwriters or the valuation to be completed. The broker is good as gold however he has been overwhelmed by the number of people trying to get a mortgage and so is often not able to speak to me on the phone. I've tried speaking to the lender direct to get updates but they keep referring me back to my broker. There is no chain either for myself or the seller so we are keen to get things moving quickly. I'm hoping to get some more information next week, at least that the valuation has a date. I'm concerned that the property is no longer listed as sold STC on the estate agent's website (will need to clarify that with the EA). 

fackers_2

fiision2020 said:

I'm concerned that the property is no longer listed as sold STC on the estate agent's website (will need to clarify that with the EA). 

I’d be getting right onto that ASAP, doesn’t sound good. Have you checked Rightmove?

macca2424

I submitted my application to Barclays via a broker on 16/6, hard credit search carried out the same day and then sent their declaration to sign and return a few days later. My HtB authority to proceed was supposed to have been submitted the same day however there was an issue with some of the forms I was supposed to have signed (I was sent the wrong versions) so that didn’t get submitted until 23/6 but it was approved on the 26/6. 

Latest update is that Barclays still haven’t given a date on the valuation yet; it’s a new build due to be ready in November so not sure if they’ll be doing a desktop or physical valuation. Apparently they don’t need anymore information/documents from me so it’s just a waiting game for the valuation now. 

watch3r

macca2424 said:

I submitted my application to Barclays via a broker on 16/6, hard credit search carried out the same day and then sent their declaration to sign and return a few days later. My HtB authority to proceed was supposed to have been submitted the same day however there was an issue with some of the forms I was supposed to have signed (I was sent the wrong versions) so that didn’t get submitted until 23/6 but it was approved on the 26/6. 

Latest update is that Barclays still haven’t given a date on the valuation yet; it’s a new build due to be ready in November so not sure if they’ll be doing a desktop or physical valuation. Apparently they don’t need anymore information/documents from me so it’s just a waiting game for the valuation now. 

I’m in the lucky part where my house is completed and ready to move in. 

Now waiting for underwriting, did you have any updates on underwriting? And roughly how long did it take ? 

Thanks , 

28tsw

Anyone else waiting for 8am tomorrow for HSBC to release products? Anyone get one last week? 

fiision2020

fackers_2 said:

fiision2020 said:

I'm concerned that the property is no longer listed as sold STC on the estate agent's website (will need to clarify that with the EA). 

I’d be getting right onto that ASAP, doesn’t sound good. Have you checked Rightmove?

Yes, have checked Rightmove and the property is no longer listed as sold STC on there as well. Do you think the EA/Vendor are trying to hold out for a better offer?

Jamaicanmelaff

fiision2020 said:

This is my story so far:
18th June offer accepted on a property ( I already had a previous AIP with HSBC)
19th June AIP/Full application with Saffron Building Society via broker
22nd June Solicitors instructed to carry out searches.
30th June Two pieces of information already given to the lender had to be resent
1st July Additional information given to lender regarding income and expected outgoings
I was told from the 19th June that Saffron were 12 days behind on valuations. Its now 5th July and as far as i'm aware the mortgage application has yet to be seen by the underwriters or the valuation to be completed. The broker is good as gold however he has been overwhelmed by the number of people trying to get a mortgage and so is often not able to speak to me on the phone. I've tried speaking to the lender direct to get updates but they keep referring me back to my broker. There is no chain either for myself or the seller so we are keen to get things moving quickly. I'm hoping to get some more information next week, at least that the valuation has a date. I'm concerned that the property is no longer listed as sold STC on the estate agent's website (will need to clarify that with the EA). 

I got told on the 8th of June that there was a 10-day backlog on HSBC assessing documents and I’m still waiting. Things are insane atm. It’s so frustrating for you just don’t really have an update for your seller/estate agent so you don’t know what to tell them.