With Underwriter. Apply elsewhere?

lky2k23

Had a mortgage in principle with L&C last week.

At the weekend we had an offer on a house agreed and my wife called Coventry building however when going through credit check there was a flag and it's been passed to the underwriters. This will take up to 3 days.

Could the previous MIP have made an impact on our credit score? Having checked both of ours today, the only issue may be around her new surname not appearing on the electrical roll of our address, something I guess a machine wouldn't pick up.

I've seen a better rate mortgage now, do I have to hold off, or can I apply for this, or is that madness.

Should I call L&C and cancel the MIP I had with them? Help

Waiting is killing me..:rotfl:

kingstreet

L&C's is an affordability check only and no credit search is done, so you appear to be barking up the wrong tree.

ACG

Why did your broker apply to coventry?

I dont use them often, usually its because they can be lenient in certain circumstances never because they are top of the best buy tables.

If you had a mortgage in principle and then made an application with a different lender, im not sure you then want to go applying to a third - that will be 3 credit checks.

I would hold fire until the underwriter comes back to you and go from there.

kingstreet

I think they've gone direct to Coventry and are now trying to find a reason for a "refer" decision.

lky2k23

Yes we went direct to Coventry. Bit of a mix up our end. And yes we're trying to find out the reason for the refer decision.

First time buying together. I have another mortgage which I plan to rent out (rent would comfortably cover mortgage) and I'm not sure if that was mentioned by my wife.

ACG

Ah sorry, assuming makes an !!! of just me!

I just assumed being in london that you would never come across the coventry unless you applied through a broker.

lky2k23

Not sure where I got them from actually.

So from your experience, they're quite tough and if they reject us all not lost, we can apply elsewhere? We are after 85%.

ACG

If they reject you there will be other lenders yes.

But its important you understand why you were rejected and if you cant get to the bottom of it then you will need a broker to look over everything.

Coventry have some criteria that makes that quite lenient in certain circumstances, so if i was being declined by them i would want to know why before making other applications.

kingstreet

If you have a property/mortgage in the background, that may generate an automatic refer.

Wh05apk

Coventry will not allow two residential mortgages, so you will need to get your other property changed to a BTL or consent to let.

amnblog

lky - you had a broker (L&C), then decided to 'do it yourself' - you are now reaping the benefit of that.

Stop messing around and go back to L&C, or if you were not happy with them for some reason, to another broker.