FTB mortgage help!

Mg1992

Buying my first property - put a reservation on a new build house last week. Using help to buy so need a 118k mortgage
I'm going through the builder recommended mortgage broker and they have put my earnings (40k) credit card/store card debts (12.8k) and hire purchase payments (445 monthly) through NatWest affordability calculator. My affordability calculator has come back fine, when they went to do the AIP it declined saying I was using a large proportion of available credit.
I have recently paid off big chunks of debt and waiting on my credit report to update and this will bring the percentage used to around 60%. The mortgage broker seems a little lost with my case.

Anyone got any ideas of my likelihood of acceptance once My credit report reflects the payments I have made? Would hate to loose out on the house based on this as I've worked hard to save and pay off nearly half of my debt in the last 12 months and I'm sick of renting now!

MoneyG

Hello
This might be to do with your debt to income ratio, most lenders like it to be below 40% I think. There are some good Debt to income calculators online to help you

Good luck

ACG

What has your broker said?
I would have picked up the phone to my account manager to ask why.

MoneyG - I think the OP is saying 60% of their available credit, rather than 60% of their income. In either case, Natwest do not have a debt to income calculation in the background as far as I am aware.

Mg1992

My Debt: income would be 31%,

broker is a little useless to be honest - alls he has said is because the utilisation on my cards is high, which i knew anyway, hence why i have brought the balance of 2 of the card down to 0 and this will leave me with an average of 60% utilisation.

Just nit sure if i am flogging a dead horse even trying to apply

FairyPrincessKimberley

Hey, I'm a FTB buyer just now as well - also doing help to buy, all i can say is dont go with nationwide if you decide to try with another lender as they are taking forever, dragging their feet taking 1 week to check a document everytime they request another one.. literally a nightmare!

You can ask the lenders to update your report sooner.. as i did that with my BMI healthcare card and it was done in a matter of days...

hope everything pans out for you! Its so tiresome renting!

ACG

Are the figures put on the DIP/Application correct? If not, ask them to alter them to the figures as they stand at now and rescore.
I would be surprised if the high use of creit is the sole issue personally.

It might also be worth getting copies of your credit reports in the meantime.