Mortgage advice / reassurance required!

Derboy

Hi guys,

I was hoping that I could get some advice from those with more experience in applying for mortgages and just get a general idea of timings etc.

I'm a self employed Ltd Company Director (50% share-holding), have a clean credit rating (for what it's worth Experian Credit Expert shows me at the top score of 999 although I don't know if that's actually worth anything) but I have two late payments (less than a month) on two separate accounts, one 12 months ago and the other was 2 years ago.

I've applied for a mortgage with Leeds Building Society (execution only, online) and this is the second mortgage that I've ever applied for in my life. The first one was on my current house 8 years ago with Accord and at that point I was employed, rather than working for myself. So i'm basically a second time buyer / first time seller.

I'm buying a new build with 84% LTV. For the last 12 months I've been paying £1500 per month to my current mortgage against a monthly payment of £670 (so basically been overpaying for the last year). New mortgage payment is £1050 per month.

I got a decision in principle approved and then submitted all the proofs and stuff last week. Online status shows "Awaiting processing" but I got word from the builder that a surveyor has been in touch and is doing the survey on Monday. I'm assuming that Leeds has organised this (as I haven't).

• Have a got anything to worry about at this stage?
• How long does it generally take from this point to get a mortgage offer?
• i'm cacking myself about my self-employed status after hearing horror stories about this and the MMR rules in general. Am I in a strong position or does my Self-Employed status potentially negate some of the positive aspects?
• If the mortgage company has appointed a surveyor, does that generally mean that they're happy with my affordability and income and so they've moved forward to looking at the actual property?

Any comments gratefully received and appreciated.

amnblog

If you were not sure about how your self employed status works out why did you go direct to Lender?


Each Lender has it's own complications with self-employed applications and LBS is no different.


If you are not taking sufficient dividends from your business you may have a problem. If your profit has reduced recently you may have a problem.


Also, I hope you are buying a house and not an apartment.

Derboy

Thanks amnblog,

I'm buying a house. The bulk of my earnings are dividends and profit has risen year on year.
Not going through a broker was just a quirk of circumstances at the time, instigated by my wife but we're ready to go through one if this fails.