Mortgage Advice Please

ramk_

I was wondering if anyone could advise me the best place to look for a mortgage. Our current situation is that myself and my partner are in full-time employment, however I am currently in a 3 month probation period. Although I have worked for the company in the past on a placement and it is (I believe) their intention to keep me on after these three months, I am in a situation where mortgage companies need proof and my employers cannot provide that at the current time.
Could anyone recommend a company where this probationary period might not be a problem? I would be so very grateful! We have found a property which we are very interested in, but my current situation is preventing us from doing anything about it.
Any advice much appreciated!! Thank you!

homer_j_3

I would go and see a professional, they will know who will do this but that said, you are being brave if you cannot 100% guarantee your income and taking on a debt!

herbiesjp

How far into the 3 months are you? Are you in the same line of work? How long have you been employed?

There are lenders that will look at the mortgage for you based on your current scenario, however it as homer rightly says, how would you cope with affordability if things went pear shaped i.e didn't take you on full time

What figures are you looking at?

ramk_

I am nearly a month into my probation period. I worked with the company for a few months last year as a placement and on the basis of that they offered me a graduate position in the exactly the same work as I did last summer. I have spoken with my immediate boss and he doesn't see any reason why they wouldn't keep me on after the 3 months, but obviously there is still that element of doubt as you are both right to point out.

We are looking at a property which is a fixed price of £154k and between us our income is (currently) £44500 per annum. We have found a couple of mortgages which we feel we could afford, however the particular mortgage lenders are not interested due to my situation. I have a letter from my employer which states that I am currently permenantly employed by them as they were keen to help but obviously couldn't do anything about the probation period.
I hope this all makes sense. Thanks very much for replying so quickly and for your advice.

SirSaverOBE

Hello!

I would be very grateful for some advice. My wife and I are now looking to buy our first house, and will be looking to get an Agreement In Principle in a couple of months time.

FIRST QUESTION: I have worked like billy-o to pay my debts off but still have a bit of a loan that I pay off each month, which doesn't seem to have too much of an impact on the loan calculators of various bank's websites - BUT -

- BIG BUT - I still have an overdraft of £1500. How do lenders treat overdrafts? With credit card balances, it's easy, as they dock the amount they lend according to the balance you owe and monthly payments on that balance. My overdraft is partly interest free and costs me next to nowt. Will they treat this as credit as they do with cards?

ALSO - do they do a full credit check and the check of your statements, payslips, credit etc. when you do an AIP or do they wait until you get the formal offer?

Any advice gratefully received!

Sir Saver OBE

herbiesjp

SirSaverOBE wrote: »

Hello!

I would be very grateful for some advice. My wife and I are now looking to buy our first house, and will be looking to get an Agreement In Principle in a couple of months time.

FIRST QUESTION: I have worked like billy-o to pay my debts off but still have a bit of a loan that I pay off each month, which doesn't seem to have too much of an impact on the loan calculators of various bank's websites - BUT -

- BIG BUT - I still have an overdraft of £1500. How do lenders treat overdrafts? With credit card balances, it's easy, as they dock the amount they lend according to the balance you owe and monthly payments on that balance. My overdraft is partly interest free and costs me next to nowt. Will they treat this as credit as they do with cards?

ALSO - do they do a full credit check and the check of your statements, payslips, credit etc. when you do an AIP or do they wait until you get the formal offer?

Any advice gratefully received!

Sir Saver OBE

Hi Sir Saver

I think you would benefit by starting your own thread - by tagging on the end of all these other threads, you risk no one looking at them, as the title of it is not what you are looking for. It will also detract from the original poster's thread

HTH

firesidemaid

ramk: i am no expert, but i would say the best thing to do is wait another couple of months - you will have many more options open to you, and better rates.

also, perhaps there will be more room for negotiation in the housing market as christmas nears - you may have found a property but there will be others, perhaps that you will like better.

do you have a deposit/savings? use this time to save as much as possible so that you can get even better deals and ultimately pay less per month.

sirsaver: if yo have a couple of months to go then hammer down your overdraft as much as you can. lenders take all debt into consideration, but it makes sense to put yourself in as good a position as possible, especially a you will be taking on new debt (mortgage).

i take it that you have no deposit/savings?

have you put your soa on the DFW board to see if there are svings to be made on your monthly outgoings?

k1mmie

Hi. Some advice would be appreciated. Please excuse if this is not the right board, was not sure where to post. We are currently with First Direct, and have accrued several months mortgage arrears. We have filled in an income and expenditure form for the bank so that they can see and also gone over the phone into detail again about our income and expenditure. We have asked if this can be switched to any other form of mortgage that may be chaeaper (but told it was an offset and capital repayment with additional borrowing so no!). They also said they do not offer an interest only for the time being to reduce our outgoings. We have struggled for the last two months to pay this at the expense of utilities and food all sufferring (3 kids also have to get to school and college and the fares alone are £300 per month). FD set up a repayment arrangement of the arrears to which we agreed at the time but have told them since is impossible. They want the full amount plus an additional amount of £350 per month minimum to reduce the arrears. Whilst I appreciate these have to be cleared, how can we repay this extra when they know out situation and that we cannot afford it. The woman on the phone even said to us "you have more going out than coming in"! But hey pay an extra £350. What can we do? Can I report them to an oficial body to ask if this is reasonable?

Can I add - have house on the market for 8 months - but not sold. So not a solution. Husband and looking to change jobs and therefore substantially increase income as I am also looking to return to work.

firesidemaid

have you thought about contacting/visiting citizens advice bureau for advice and also so they can use their expertise to chelp you correspond with the bank.

also have you posted - perhaps in a new thread on the DFW board - your soa, list of incomings and outgoings so that the folks on her can help you make savings/reduce your spending. i will try and add a link in a minute tom a guide on how to do this.

do you get all the tax credits you are entitled to? what about cheap/reduced fares for kids or help from the local authority for this?

posting an soa will really help you x

firesidemaid

http://forums.moneysavingexpert.com/showthread.html?t=107280

this is the link you need x

ramk_

Thank you very much for all of your help and advice. It is very much appreciated.