Mortgage...Advise needed

Monica2115

Hi All,

have been following along with everyone mortgage journey... I was wondering if anyone can offer some advise.

My husband bought a house in 2002, for £62K approx, this property is now worth approx £112K with an outstanding mortgage of £42K, we lived in this property until we build a house in 2011.

This house has been rented out with an approx rental income of £450 per month, covering the mortgage with £50-60 left over.

we wanted to free up some equity in this property to finish some outdoor work, and loft at our new house, approx £40K.

We did go thro a few tough years, and had approx £6K in credit card debt, this is now cleared, no car payments, no loans. we both work full time, my husband is self employed with accounts showing income after tax of average £38,000 per year, and my own of £16,500.

fast forward to today, our Mortgage Adviser, had a mortgage in principal with BM Solutions for £83K, all documents were sent over, as the property was originally just in my husband named, instructed solicitor to add my name to deeds, (approx £750) cost, got a call yesterday to say Surveyor was coming out on Monday, all happy!

then today the Surveyor called to cancel as the bank instructed him to cancel, called the Mortgage adviser, who is trying to contact BM Solutions to find out why offer pulled?

Surely they would of declined before they instructed Surveyor?
guess wont know exactly until we hear back from BM Solutions, but I'd imagine when they say cancel the surveyor, they wont change there minds?

Mortgage Adviser was that confident that we have went ahead and increased our life insurance to cover the extra funds, in case anything was to happen to either of us.

I am so disheartened, never mind the money wasted to Solicitor.

Thrugelmir

Is the property you live in mortgaged?

Does the rental income of the let property meet the lenders requirements for the new level of borrowing? £450pm suggests it doesn't.

Monica2115

yes the property we live in, is mortgaged, with Halifax.

the rental income is £100 per week, and we were quoted a mortgage price of £400 approx per month, we did say to our Mortgage Adviser that we could go interest only, and make the necessary over payments ourselves.