FTB Mortgage/Application Advice

Steve_1010

Hi,

New member here, although have often visited the forum for advice/tips etc...

Just hoping to get some advice regarding my recent mortgage application.

A few details...

* currently in private rented for over 10 years
* same job for over 10 years
* no debt, just my credit card I pay off in full each month (have had a couple of loans which show on credit file as settled with perfect history however)
* basic is £28.5k, but overtime is often worked if needed. Will be £34k ish this year, and last 4 P60's £30k/£31k - all present
* no dependants
* clean credit file with no CCJ's/defaults etc

Been looking at houses around the £120k/£135k mark - I have a 15% deposit.

With a broker at the moment. Supplied him with everything, 3 months bank statements, 3 months pay slips, credit files, proof of deposit etc. He was confident I would have a choice of "95% of the market" Got an AIP from Halifax and Santander - with out overtime added. Both approved at £134k with Halifax and £125k with Santander...

Submitted a full application last week with Santander and got an offer of £48k from their underwriters!?!?

Broker then suggests it's because my pay slips are broken down to basic, shift allowance and extra allowance. My basic makes up around 60%, shift rate 30% and allowance 10%. However, even if they calculate using my basic alone - 4x that amount is £68k!

My basic/flat week has been payed using this structure for over 10 years now though. Worked the same shift pattern ever since I started with the company over 10 years ago which I did explain to him. Santander apparently have now asked for 12 weeks pay slips to re-evaluate and didn't want my bank statements he said?!

I'm just at a loss how this has all been calculated and I'm in no doubt their re-calculation won't get me from £48k to the £100k/£110k loan I was hoping for. Confidence is low and looking like it's not going to happen now

Just hoping for some advice/opinions.

Cheers.

ACG

Your broker has made a mistake, either by choosing the wrong lender or not asking them what they would need upfront.

However, it could make the difference needed. Presumably he has checked that if he/you provide the extra payslips it will pass affordability? Otherwise you are just wasting time.

Either way, there should be lenders out there for you.

Steve_1010

ACG,

Yeah, I was under the impression the pay structure wasn't an issue. After all, I have been payed like that for over 10 years so was under the impression Santander were fine with it. Broker never questioned it and went to full application....

He said they only asked for one payslip at first, but now he has provided them with 12 weeks and there is also quite a bit of overtime on those too.

I have always been fine with affordability he has said, but my confidence is shot with the £48k offer! Just waiting to hear back what they say after having 12 weeks pay slips. "Will see what they say" he has said.....

ACG

I do not use Santander very often, so it could be that they asked for one payslip but if your pay is a mixture of basic plus bonus/overtime etc I would assume they would want more than 1 payslip as standard.

Try and relax, if they have asked for 12 weeks payslips then they are looking to do the case.