Nationwide mortgage decision and appeal

Jambourie

Hello,

Hoping someone can help me with this.

We've had a mortgage with Nationwide for 3 years and paying regularly.

We are moving up north and are buying a cheaper house. We were looking to borrow £145k based only on my husband's salary of £55k. That's putting down a 50% deposit on the house.

We were told that we'd have no problem borrowing that amount, have an agreement in principle etc. However, just had mortgage decision back and they will only lend us £133k. I've spoken to the Nationwide mortgage adviser and he doesn't know why we've only been offered this amount. He says the only option we have is to appeal.

I can't understand how they could only offer that amount based on his salary. We have no loans, debts etc, no big outgoing. In fact, when I use the Nationwide calculator and put in salary and outgoings it says they should lend us £230k.

Surely Nationwide must be able to tell me what they've based their decision on? I'm getting nowhere with them at the minute. I can't help feeling that they've made some sort of mistake.

Please help!
Thanks,
Jambourie

cakeforbrains

Are you looking for a short term? Would they be prepared to lend if you extended the term?

Is it the amount of dependents? If you're borrowing in his name only then you might count as a dependent.

Nb. I am just an amateur. Somebody who knows will come along soon I expect.

Jambourie

No, borrowing over 32 years.

No dependents but yes I could count as a dependent. Even so, I still don't understand why they will lend so little. I put myself down as a dependent with £0 salary on their calculator and it still came up with £230k.

kingstreet

Any credit commitments recently repaid where the credit system might have lagged and it might still be visible as outstanding?

Someone not ticked to say your existing mortgage to be repaid?

Travel costs underestimated?

Something else visible on payslip not fully understood and deducted when it shouldn't, such as pension salary sacrifice?

It's practically impossible to work out why something like this happens. Someone needs to ask the underwriter. That would be my job if I was your broker. We work out exactly what you can borrow before we submit the application and if the eventual outcome is lower, it's normally because the underwriter has done something wrong with the data/docs supplied.

Thrugelmir

Is your husband relocating with the same Company or is it a new job?