Company Director Mortgage Help Needed

Tiptop2000

Wondered if anyone could help. My wife & I run our own design business and have our house sale fall through. We still want the £415k house that we have made an offer on but are concerned that we can only now rent our house and get a 15% deposit for the new house.

Wondered if anyone could recommend any lenders who take such complications on board but still offer good rates, and who aren't wanting the earth in terms of paper work.

Any & all advice appreciated.

GMS

See a broker.

How do you mean regards the paperwork?

ACG

Most important bit of info is missing - your income.

If your combined income is below around £75k income then you are probably going to struggle.

As for lenders that will do everything else you want, you are probably best speaking to a broker. Lenders criteria/timescales changes all the time, if you go off the advice of someone who made a similar application things could have changed since then or there could be an important difference betwen your scenario and theirs.

Tiptop2000

I had an original AIP with Accord through a broker and know that we can get to circa £590k based on business finances over the last 2 years. The outstanding debt on the house that I am looking to rent is £75k plus there is an additional £30k mortgage for a flat my wife had before we got together. A flat that is rented and covers the mortgage.

So finances wise I think we will get there. Its more the painful paperwork and process. I had read that Accord were challenging with paperwork and process. So just looking for advice on the process and paperwork that people have experienced. We don't have audited accounts so were hoping that the SA302 would suffice.

Funny_old_game

I know Accord have revealed publicly their procedures once MMR is in and the cut off dates of completed applications that need reassessing under new rules. If your going into rented its highly likely you'll be reassessed again as a new property will mean a material change has happened.

The current offer you have may be worthless I suspect. Get your broker to confirm the cut off dates.

Also if your going to rent your current home out they may request proof consent is granted.

Sa302's are preferred so as long as your declared income as you did now this shouldn't be an issue going forward.

All because your sale fell through, that's rough and couldn't have come at a worse time.

Tiptop2000

Thanks I think we may have to get someone to rent our current home and agree a contract before they will release the funds on a new mortgage. That might be a challenge. Broker is looking to speak to Accord tom.

If its just a case of SA302's and a contract for the rental of our current home I think we should be OK.

Can anyone advise what else they would ask for? The company is limited and my wife & I are joint directors. We have not got audited accounts and that would cost us a lot of time and money. Hoping to avoid that.

Any other strange requests that anyone can imagine they ask?

ACG

There will probably be lenders for this.
To be honest Accord are renowned for being difficult to deal with. They usually want blood.

There are lenders who will be happy with a letter from an estate agent saying the expected rent will be £xxx.

If you have a broker on it i would leave it to them to sort out.

Thrugelmir

Tiptop2000 wrote: »

The company is limited and my wife & I are joint directors. We have not got audited accounts and that would cost us a lot of time and money. Hoping to avoid that.

Audited accounts give a huge amount of reassurance when it comes to financial matters. If the accounts are prepared in a proper manner. Then an audit should be a relatively straight forward matter.

Tiptop2000

I can speak to my broker, the challenge is I have read a few bits about Accord that state they want blood which is why I am a little nervous about going with them. As such the option of perhaps another supplier might be one to pursue.

I have a baby due in a few weeks and a busy business to run so hassle free is very important. The first year accounts would need me to spend a lot of time on them to get them audited. 2nd year ones are in a much better place.

Any other thoughts or advice?

Thrugelmir

Tiptop2000 wrote: »

The first year accounts would need me to spend a lot of time on them to get them audited.

Presumably they have been filed at Companies house and Corporation tax returns filed with the HMRC.

Tiptop2000

Yes, they will have come the end of April. First year is filed.