Contract and mortgage amount

alexb123

We have a contract for £70,000+ (UK government project) which we are signing and about to start work on. Also, if you were to do a forward projection of our company it would show that turnover/profit is due to double this year.

Are these thing that would be considered when applying for a mortgage?

Thanks for any guidance

intmstan

I've just gone through the whole process with Lloyds of the last few weeks from a similar position I think. All they were interested in was the historical accounts for the company to begin with - and they declined the mortgage. The lady at Lloyds thought this was strange so asked me to put together a brief of what my company did, its contracts and future prospects and so on. I had this signed off by the accountants as true and accurate and lo and behold four days later some sort of senior underwriter reversed the decision and I got the mortgage. Was stressful though.

Edit sorry: Meant to say they were looking for stability of the company predominantly so anything that you have got that proves the company is stable and isnt from you just saying it is (accountants, contracts, statements from customers) would be of use - that is what I submittted.

alexb123

Okay thank you that gives us some hope. Pleased it worked out in the end

amnblog

Don't misunderstand the post from intmstan.


Lenders are interested in what you can prove has happened with your business'. Not what you are projecting - will happen.

alexb123

Yes I got that and we are a stable business. That's what I responding to rather than the contract issue