New rules for how much we can borrow?

greybear40

Hi to everyone. We will be remortgaging to remove my ex husband from the mortgage and for my partner to come in on it at the end of June/July. We can't do it until then as my partners bankruptcy doesn't come off his file until 18th June. We have already seen a broker about a month ago who said Halifax are our best bet as we have a timber framed property and also they only want to know about bankruptcy in past 6 years. I have been reading on here that the affordability rules have now become stricter and I was just wondering what things we would need to include in outgoings? Does it include things like insurance, gas/elec/ water/ sky etc or is it still just credit cards/loans etc? I still think we will be ok as at a guess our property is around £70000 (not sure how I would find this out for definite) and we want to borrow £50000. Our joint income is £35000. Do you think we will still be able to remortgage?

Eviesmummy

If you look on lenders websites most already have the new calculators to give you a rough idea of what you can borrow.

mrginge

I seem to think at i've read that MMR allows scope for lenders to deal with remortgages differently to new applications as long as you are not borrowing any additional funds.

One of the brokers on here will be able to confirm, as i may well be talking rubbish...

ACG

Bankruptcy will always flag up to the lender. Its just halifax dont mind it.

You could probably get a normal mortgage now... i have done them at normal rates for people with 3-4 ear old bankruptcies.

Timber frame could be a difference issue, i have not had to do one of those but i suspect there will be lenders for that too.

MMR assesses all affordability so it will take into account your bills but more often than not it will just use generic figures from the ONS unless yours is considerably more than that.

greybear40

We will be borrowing additional funds to clear all debts including my partners hp loan for our static caravan which he managed to obtain whilst bankrupt! We also want to do home improvements such as double glazing, bathroom etc. The current mortgage is 26500 and the van loan is approx 16000 to clear early plus I have one credit card balance approx 1300. The rest will be going on the house. Do you think we are asking for too much especially given our circumstances? Our broker seems very confident as says Halifax are ideal as they lend to post bankrupts and also timber framed properties and at present we are paying more on the caravan than on the mortgage so we would be around £300 better off a month

PeacefulWaters

including my partners hp loan for our static caravan which he managed to obtain whilst bankrupt!

Are you sure you want joint debt with somebody who behaves in such a way when bankrupt?

amnblog

Is Halifax your best bet or the brokers?

Has he whole of market access, or does he work from a limited panel.

greybear40

We got the caravan together. I couldn't get the loan in my name as still had one default which has since dropped off my file but he had no problem which really surprised us. Both of us are named as owners on the van but the finance is in his name only. It is our holiday home that we go to with the kids as often as we can and we love it The broker is a whole of market broker who has been recommended by friends. He can do sub prime mortgages too but says we should have no problems with Halifax. We also bank with them which hopefully will help. Just little worried about this new affordability calculator thats all.