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Mortgage application has been in the final stages for weeks, will it be rejected?
AliMalice
Posts: 4 Newbie
Hello,
I'm on my probationary period until the end of December but still found a mortgage lender that was happy to lend to people in my situation. I got my AIP towards the end of October and put an offer on a lovely little cottage that was just within my price range.
Family tax credits make up part of my income, which was all fine until the lenders decided to lower the amount they were going to lend me because instead of looking at the amount I'm given every 4 weeks and calculating it for the year, they looked at the full amount for this tax year (including what I was given so far). I only started working recently as before that I was at uni (and didn't have a job whilst at uni because I'm also a parent). This massively reduced my income. They also saw that I was a little bit overdrawn (but well within my overdraft limit) when I sent in a bank statement to prove that I get child benefit. They said this was also why they reduced my amount. This was very stupid on my part, I should have made sure I printed the statement when I wasn't overdrawn but they did assure me on the phone that it was OK to use my overdraft!
Luckily I still had just enough to afford my dream cottage, as I am soon to have a deposit from selling my shared ownership property. The only thing is, that my application has been in its 'final stages' for a few weeks now. When I call up they keep telling me it'll be a few more days until it goes to offer. This has been going on for a while.
I'm starting to think they feel I'm too much of a risk. I know I'm not - I successfully kept all mortgage repayments for the last five years, even though for four of those years I was a full time student. But they just don't trust me on paper and I can't prove my determination to them.
I'm just hoping that if they were going to reject me they would have done it weeks ago? My shared ownership property should be sold in the next couple of weeks. If they reject me it looks like we'll become homeless pretty soon! (We have places to go, but all are short-term and it isn't ideal living like this with a child in tow).
If anyone could offer any advice/reassurance I'd be extremely grateful.
I'm on my probationary period until the end of December but still found a mortgage lender that was happy to lend to people in my situation. I got my AIP towards the end of October and put an offer on a lovely little cottage that was just within my price range.
Family tax credits make up part of my income, which was all fine until the lenders decided to lower the amount they were going to lend me because instead of looking at the amount I'm given every 4 weeks and calculating it for the year, they looked at the full amount for this tax year (including what I was given so far). I only started working recently as before that I was at uni (and didn't have a job whilst at uni because I'm also a parent). This massively reduced my income. They also saw that I was a little bit overdrawn (but well within my overdraft limit) when I sent in a bank statement to prove that I get child benefit. They said this was also why they reduced my amount. This was very stupid on my part, I should have made sure I printed the statement when I wasn't overdrawn but they did assure me on the phone that it was OK to use my overdraft!
Luckily I still had just enough to afford my dream cottage, as I am soon to have a deposit from selling my shared ownership property. The only thing is, that my application has been in its 'final stages' for a few weeks now. When I call up they keep telling me it'll be a few more days until it goes to offer. This has been going on for a while.
I'm starting to think they feel I'm too much of a risk. I know I'm not - I successfully kept all mortgage repayments for the last five years, even though for four of those years I was a full time student. But they just don't trust me on paper and I can't prove my determination to them.
I'm just hoping that if they were going to reject me they would have done it weeks ago? My shared ownership property should be sold in the next couple of weeks. If they reject me it looks like we'll become homeless pretty soon! (We have places to go, but all are short-term and it isn't ideal living like this with a child in tow).
If anyone could offer any advice/reassurance I'd be extremely grateful.
0
Comments
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and the lender is?I am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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