Getting a Mortgage with unsecured loans

Longtom107

I am in the process of selling my flat which I rented out. I went to see Natwest and they took my details and told me I could have a Mortgage of up to £285,000 and I should start looking to make offers on houses. I'm slightly dubious as they didn't do a credit check. I have two loans adding unto about 29k and two credit cards which will be clear when/if I buy my next home. The mortgage Natwest have provisional offered me is with a £15k deposit and I don't intend to go over £250k mark because of Stamp duty. I earn £67,400 a year and I have never been late or overdrawn on any payment. For the little its worth I have a 999 on Experian but I don't think that means a lot. However, with this in mind I find it hard to believe when it comes to the actual credit check they will allow me to have a mortgage this big because of my unsecured lending. Can anyone advise me because I don't want to waste venders time or make a fool of myself by putting offers into houses I am not able afford.

Thrugelmir

£29k debt and £15k deposit. In essence means that the deposit is borrowed money.

Sell the property and tackle your debts first.

Funny_old_game

Your right, it does not look right at all.

Are the loans only to remain and not the cards? How much a month is each loan?

Longtom107

The loans are £300 and £436 respectively. I can comfortably afford the mortgage as well its just I doubt my eligibility in the 1st place.

Funny_old_game

It's not you affording it it's the lender saying you can or can't.

One post is right, if any of the origins are from your loans, you may have issues.

Longtom107

The problem being I have found a house I love. If I pay off my larger loan when I sell my flat (two weekish depending on solicitors) Can I apply for a morgtage in principle now on the condition I settle the larger loan? Or will they only take the position you're in at the moment?

kingstreet

Put the numbers in here;-

https://rbsintermediaries.hdddirectsolutions.co.uk/Natwest

What is the output?

kingstreet

I get £226,200 over 25 years on 94% LTV, with no other credit commitments, no dependents, childcare, maintenance, ground rent or service charges and £736 a month in loan payments.

kiddakidda

Take Heed the advice

Different scenario but I had been told by Chelsea BS that I could borrow a certain amount so off I merrily trotted putting in a bid on the perfect house for me and the brood.

30 mins after completing the app I got a call from the advisor saying that there was a miscalculation on the child care fees (£600) which reduced my borrowing amount by about 30k

Haven't told the vendor yet as I am hoping I can sort this out with an alternative lender through a broker.

Longtom107 wrote: »

I am in the process of selling my flat which I rented out. I went to see Natwest and they took my details and told me I could have a Mortgage of up to £285,000 and I should start looking to make offers on houses. I'm slightly dubious as they didn't do a credit check. I have two loans adding unto about 29k and two credit cards which will be clear when/if I buy my next home. The mortgage Natwest have provisional offered me is with a £15k deposit and I don't intend to go over £250k mark because of Stamp duty. I earn £67,400 a year and I have never been late or overdrawn on any payment. For the little its worth I have a 999 on Experian but I don't think that means a lot. However, with this in mind I find it hard to believe when it comes to the actual credit check they will allow me to have a mortgage this big because of my unsecured lending. Can anyone advise me because I don't want to waste venders time or make a fool of myself by putting offers into houses I am not able afford.

kiddakidda

Interesting...... Is that accurate?

Seems generous to me, well in excess of what I am looking for.

I accounted for everything inc nursery and credit card balances

kingstreet wrote: »

Put the numbers in here;-

new user can't post links:cool:

What is the output?

kingstreet

I provided access to the NatWest calculator to the OP as he seems to have a doubt over what he has been told.

I have no way of guaranteeing NatWest will even lend to you, as I have no knowledge of your circumstances.

I suggest you contact an independent broker near you, preferably by personal recommendation, if you want someone to calculate what you can borrow based on your particular circumstances.