Remortgaging living with partner

themonkey88

I'm starting to do a bit of research as my fixed term ends in the June. Since I bought the house my partner has moved in and I've noticed that this is significantly impact the amount lenders are saying they might lend to me when using their online calculators.


For example Yorkshire BS say in theory they will lend 104k (just over what I need) if I live a alone, but only 64K with my partner living with me. My partner works full time and earns 18k, and pays me 350 a month to contribute to all the bills. I have more of income with him than I do without him (although I understand that this would not be income that would be taken into account), yet the impact on how much I can borrow seems massive.


Any suggestions or advice on this issues would be appreciated.


I've seen lots of threads on sole applications for married couples but I've not seen anything on this exactly.


Some background in case its relevant:
I had some issues securing this mortgage and ended up with Precise as I had a lot of late payments, and a default (£120) that was settle 20 before. Now the default is nearly 4 years old and I am not having issues paying off my credit.


My income has increased from 28k to 36k as well. I'm hoping to leave precise for a more main stream lender.


Thanks in advance!

David_White

I'd suggest speaking to a broker that has knowledge of adverse credit cases as with a default on your file it won't just be a case of finding the lowest rate on the market or the lender with the most flexibility with income. You'll likely need someone to fully consider all aspects of your circumstances first.

themonkey88

I haven't really had a lot of luck with brokers, tried two in the past and they didn't help me secure a mortgage. I don't really count the very expensive chap who arranged my precise mortgage as I paid through the teeth for that. Leeds BS previously said that they would reconsider me in three months they were more concerned with the fact I'd gone over my overdraft than the default.

kingstreet

Leeds treats the "household" differently to most lenders by effectively taxing the sole applicant as if the other occupant is a dependent, even when they work and contribute.

Most lenders do not do this. However it appears YBS does the same.

If you can't find a broker you think you can trust you are going to have to roll your sleeves up and do the broker's job yourself. Establish which lenders will lend to you given your circumstances.

Start off with a shortlist of the best rates for the product you want and hit the phone speaking to them in order.

themonkey88

It's helpful to know that they are in the minority.


Maybe I will try a broker again, the ones I tried seemed quite negative, except the ones like the one I used to get my precise mortgage... I'm pretty sure he could get my cat a mortgage if the interest rate was high enough.

kingstreet

Precise rates aren't that high for what they will consider.

They have to be a means to an end, so you must be able to remortgage away when your initial product expires. You still have a visible default, so you're not yet ready for the Yorkshire Building Societies of this world, but you should still be able to get high street rates.

David_White

themonkey88 wrote: »

I don't really count the very expensive chap who arranged my precise mortgage as I paid through the teeth for that.

Seems an odd statement considering the broker that you "paid through the teeth" for was the only one successful in getting you a mortgage.

Would you prefer the brokers that were cheap but got you declined and wasted your time?

themonkey88

Take your point but it took him all of 5 minutes to put my details to precise and he got nearly 2K for it. I went to him suggesting precise, if I could have gone to them direct I would have.


That isn't his fault but compared to other brokers who searched and tried and didn't get paid it seems a bit off.


I guess I'm a just bitter, my money problems were relatively minor and mostly related to my late partner who had a chronic illness that meant their income was very unstable, and included lots of me driving to visit them in hospital, taking extra food etc with less income.


No pension or insurance left me paying for everything when they suddenly died. And now I still pushed further, charged more because of some minor late payments, and a silly default of 100 quid.