Natwest DIP v Borrow Calculator

uncreative

I have just tried the Natwest online decision in principal as it is a soft search and not wanting to apply just yet.

Facts are:

* Me earns £86,000 permanent job in construction
* Wife earns £10,000 permanent part time job
* 3 kids school age
* no PDLs ever
* no missed payments or anything - perfect debt payments
all green zeros
* no oustanding debt
* 5 credit cards with limit of just over £55,000
* my o/draft is £1,000 (not used - been in credit for ever)
* wife o/draft £1,100 (not used - gone into overdraft a couple of times for a couple of days max only a couple of hundred pounds)
* lived in current rented house for approx 2 years, paying c£1,000 rent and never missed
* cars both paid off in full

The calculator shows that we could be able to borrow up to £414,000 which is ok as we want to get a house for £330,000 with a deposit of £33,000.

For investment purposes I have a 50% share in a ltd company that has 3 flats in it rented out turning over £21,000 making profit before tax of £16,000 and with property value of £235,000 and commercial term loans of £130,000. No income is taken from this at all - it is all reinvested and sheltered at 20% tax.


Then i do the decision in principal and it says that i can only borrow £158,000.

Where am I going wrong - can anyone offer any advice? Credit expert for me is 989 and wife is 964 - she has 3 store cards all settled so actually no credit live.

Thanks as feeling a bit stuck at the moment.

uncreative

signature not updated - will have £33,000 for deposit in September from hard hard saving

uncreative

currently saving £2,500 to £3,000 a month using YNAB ON TOP of the rent we are paying and the mortgage is only an extra £450 on top of the rent so can clearly afford it.

it says I can only get a mortgage for LESS than we currently pay in rent....????

LeoTLion

Probably best to wait till you have the deposit saved and then speak to a broker.