Mortgage decision referred?.

Baileybluetwo

We made an application for a mortgage on Friday explaining to the advisor our situation an he was confident we would still get accepted but the decision with Leeds building society was referred he said its not all bad as it could of been a straight decline can anyone shed any light on what's happening as the suspense is killing us?

Thanks in advance

MoneySaverLog

Either there is something you put in the application which the computer does not like and has flagged it to a human to look at or something has been picked up at one of the CRAs.

The underwriters will make a decision

gazfocus

When I bought my current house, my mortgage was with Leeds BS through a mortgage advisor. My AIP came back as referred but my mortgage advisor dealt with it and I got the mortgage.

ethank

When I bought my first flat with Leeds - I was also referred, and then passed and took out the mortgage.

mollyjester

I was an underwriter a few years ago and although things have changed a little the principles are still the same. Usually the system post AIP is automated and based on your credit score. Several things can knock it down from not being on the voters roll at your current address, a lot of credit searches in the past few months, missed or late credit payments, high levels of lending and a high loan to value. Usually automated mortgages are only agreed if the loan to value is less than 75% (its a risk assessment). I wouldn't be too concerned if the adviser said it was OK providing you have no defaults or CCJ's and you meet the affordability calculator (most lenders work to 4 times income). Hope this helps! Underwriting as a whole is not something to be scared of unless you are hiding something. It usually means your application poses a slightly higher risk and needs additional checks carried out.