Affordability reduced - boyfriend classes as dependant?

MissBizzita

Further the difficult start I've been having with my broker...

I've just heard that the lender (Leeds) has reduced affordability from £140,000 as per my AIP to £80,000 because I said that my boyfriend would also be living in the property. They have classed him as a dependant because he is not party to the mortgage.

I am the one selling my flat. It is my equity and my deposit, I am buying the new house in my sole name. My boyfriend will be living with me. I do not need him to pay the mortgage nor do I want to apply jointly. The relationship is fairly new and not at the buying together stage yet!

Is this normal?! Surely it is something my broker should have picked up on 3 weeks ago when I made the application?!

My boyfriend works full time and earns more than me! He is certainly not a dependent.

What are my options here? Apply to someone else? Contest it with Leeds? The vendor is already on my back about the mortgage offer and will likely put the property back on the market if I say I've been turned down!

If I were to apply again, can I essentially port the valuation that has already taken place to another lender or will I have to fork out another valuation fee?

I know the advice will be to contact my broker but surprise surprise the advisor is on annual leave and the case handler has not returned voicemails or emails. I found the above info out by calling Leeds directly, due to no response from brokers.

Any advice will be gratefully received!

kingstreet

It is a Leeds foible.

You must input the number of people in the household in the affordability calculator and if one isn't going to be party to the mortgage, it reduces what you can borrow even if that person is financially independent.

Wrong lender selected for such a case, I'm afraid.

MissBizzita

I thought as much...

Do you know the position regarding the valuation report? Thanks

kingstreet

You'll end up paying for another.

Bill your broker.

The chump.

MissBizzita

I still can't get hold of him.

I've lodged a complaint with head office.

My issue is, the vendor is already jittery, if I say I've been turned down they will almost certainly put the property back on the market. They'll knkw I've been turned down the minute a new valuation is booked.

Arghhhh!

kingstreet

If your new lender just happened to use the same surveyor as Leeds, there is a chance another inspection could be avoided. However, the chances of that are practically impossible to manage in England, as surveyor identity is kept quite for anti-fraud reasons.

MissBizzita

I've been that unlucky so far, I doubt such a coincidence will happen!

I've been given a personal recommendation from my brother for a new broker (wish I'd asked him to begin with). Now I've got to work at getting my valuation fee back from these cowboys.

One more question: what does the term "final checks" in the industry mean?

Thanks so much!

kingstreet

It isn't an industry-standard expression but I'd assume it meant the lender has everything in hand and is deciding if an offer is going to be issued.

gwynlas

We all know that break ups happen all the time. Tell them that in light of what they have said you have decided that boyfriend cannot live with you as it places strain on your relationship. Is there any way he could stay somewhere else part of the week and class it as main home? Otherwise break up and reconcile once purchase completed.

ACG

Sounds similar to what Skipton do.
Definitely the brokers fault - broker should reimburse you should you have to pay for another.

I did something similar to this when I was first starting out - my fault I paid the client back without them even asking (they were not actually expecting it back??!?!?) It was a £450 lesson I have never forgotten.

MissBizzita

I've now spoken to someone at the brokers who has agreed that it's their !!!! up. His words. He agreed that Leeds would never have given me the amount requested given my circumstances. No mention of refunding my valuation fee but someone will call me tomorrow.

He wants to now place me with a different lender. I now don't trust this broker whatsoever, but in terms of expediency (for the benefit of the vendor) I'm wondering, given that they have all my documents etc whether to stick with them or go with my brother's recommendation.

I'm also wondering at what point to come clean with the EA/ vendor. When I get a new AIP? Before I even bother trying?

Argh, I'm so, so annoyed.