Mortgage Anxiety x1000

Sim89

Hi
I am a first time buyer and me and my husband have found a property, offered and it has been accepted. Now we are in the middle of mortgage application which is giving me major anxiety!! We have a 15% deposit available and are getting a mortgage from HSBC as they have the best rates for us after spending time shopping around.


We had an initial appointment with mortgage advisor which lasted around 1 hour and the application was started and she said it will now go to underwriters and they will make their decision. I'm getting stressed because I have been reading various forums and articles that say if you have an overdraft facility and use it regularly this can go against application being accepted and getting the mortgage.


I have had overdraft facility for 10 years of £200 but have never gone over my limit and have always come out of it quickly but I do tend to go into it most months however very rarely the full £200.


Will this make them reject the application? Has anyone been in a similar situation? I've also heard HSBC are quite strict and its hard to get a mortgage approved by them, has anyone had this experience with HSBC?


Thanks

Glbooth3

I feel u Hun, we are 6 days in since application sent, yday they said valuers were goin to be sent to house, I'm still sooooooo nervous about it being declined, I can't sleep! The house we are buying is across road, off someone I've known since I was little! Fingers crossed for us both xxx

NiaS90

I was in a similar situation. I was stressing so much!! I have had an overdraft for a number of years and heard so many bad stories but we have just had a mortgage accepted with Nationwide and i still have my overdraft! I haven't used it for a number of month though to show i can manage my finances. Although Nationwide didn't end up asking for statements!! which i was surprised at but not complaining as we have the mortgage sorted now :j

Good Luck and i hope everything goes smoothly for you!

tl2463

I feel your pain - we're still awaiting for our mortgage offer to be accepted and I've got a car on finance which has a year left and my credit card am still paying off. on top of this am always in my overdraft but its a planned one so it should be okay as never exceeded, only use up to my means on top and always paying off. credit score is good too never had a bad one. my fella and I are putting in a crazy amount of deposit above 40% so hopefully!


fingers crossed we get our offers!! congrats NiaS90

Neutrinno

An underwriter will assess the overall affordability of your case and satisfy him/herself that you aren't living beyond your means, or taking a mortgage out will result in you living beyond your means. They will want to make sure you are keeping up to date with all your commitments and have a good credit history.

Using an overdraft alone isn't going to cause massive harm, most people do, that's what they are for. It may cause alarm bells though if you are deep in this each month, going over your limit, being charged etc.

tl2463

luckily am not - I only use the amount that I feel I can afford and I know i'll pay off every pay day. I've never missed a payment, gone over my overdraft and credit score is good so fingers crossed! so excited but very stressful at the same time.

Sim89

Glbooth3 wrote: »

I feel u Hun, we are 6 days in since application sent, yday they said valuers were goin to be sent to house, I'm still sooooooo nervous about it being declined, I can't sleep! The house we are buying is across road, off someone I've known since I was little! Fingers crossed for us both xxx

It's sooo stressful isn't it!! Especially when you really want that particular property!! Spoke to mortgage advisor and she said we will have our decision by tomorrow afternoon!! Fingers crossed for you too xx

Sim89

NiaS90 wrote: »

I was in a similar situation. I was stressing so much!! I have had an overdraft for a number of years and heard so many bad stories but we have just had a mortgage accepted with Nationwide and i still have my overdraft! I haven't used it for a number of month though to show i can manage my finances. Although Nationwide didn't end up asking for statements!! which i was surprised at but not complaining as we have the mortgage sorted now :j

Good Luck and i hope everything goes smoothly for you!

This makes me feel much better!! So there is some hope for me unlike some things i have been reading on the internet. Thank you xx

Sim89

Neutrinno wrote: »

An underwriter will assess the overall affordability of your case and satisfy him/herself that you aren't living beyond your means, or taking a mortgage out will result in you living beyond your means. They will want to make sure you are keeping up to date with all your commitments and have a good credit history.

Using an overdraft alone isn't going to cause massive harm, most people do, that's what they are for. It may cause alarm bells though if you are deep in this each month, going over your limit, being charged etc.

Thank you for you're response. This makes me feel better and anxiety levels are now lowering!! Hopefully will get the answer we want tomorrow

Neutrinno

Sim89 wrote: »

Thank you for you're response. This makes me feel better and anxiety levels are now lowering!! Hopefully will get the answer we want tomorrow

Well did you get the thumbs up? :beer: