Help! Advice needed

catpat88

I have reserved a house with keepmoat homes (newbuild) which is 175k. I am a self employed first time buyer applying myself. I will be living with my boyfriend but he has bad credit.

I have paid the reservation fees and received an agreement in principle. I am using the Scottish help to buy scheme so 15% would be paid by help to buy. I have been told I can get a mortgage 4.5 times my income which is based on the last two year of my accounts (30,550 this year and 28,278 = 29,414) I have 3 years of accounts though.

So I have been told I can get a 132k mortgage with a 17k deposit plus the help to buy deposit of 26.25k. My mum is gifting me part of the deposit.

The mortgage adviser who keepmoat passed me on to is asking me for 4 months bank statements. I am worried that as I have an overdraft (which is a student one with 0% interest) and I have been in and out of it the past 4 months that this will mean I won't get the mortgage approved. I have no diret debits apart from a £25 monthly phone bill. Stuff coming out of bank is transfers to and from family members and bf, groceries clothes shopping etc. But last month I deposited money in to coinbase as I was buying bitcoin. Is this classed as bad spending?

I have deposited money from my business bank to my personal now so that I am over 2k+ above my overdraft (3.6k available with overdraft and 2.5k without within my personal bank) My deposit is in my help to buy ISA account and the rest in my mums ISA which she is gifting me. (I will be giving her this back asap - my bf is due money from the sale of his dads house)

I am supposed to go to keepmoat and make my choices for extras on Saturday as the build is due for completion February. I am worrying I will be spending this money before I have even got this mortgage approved.

What will they be looking at in terms of approving me? I have 887 out of 999 on experian credit. So stressed out with this as I have been waiting ages to get a mortgage. One other thing worrying me is that the help to buy house price threshold is lowered come March to 175k so this house won't be available at the same price after this date.

YHM

Have you not asked your mortgage adviser this? I would assume if he is from Keepmoat you are paying him a fee?

catpat88

The mortgage broker was refereed to me by keepmoat. He gets his fee from them.

I am just reluctant to trust them due to all the stories I hear. He said that because he is a broker that lenders usually won't look at my bank statements and that the bank statements I am sending are for their own internal records?

He seems fairly certain everything will go smoothly but as I said I am just reluctant to believe them due to stories I have heard. (Not from this broker just in general)

kingstreet

Some lenders request bank statements, some don't.

Lenders who do are looking for unathorised borrowing charges and unpaids. Use of a small authorised overdraft is not going to cause a problem.

Specialist newbuild broker here, just so you're aware.

catpat88

That puts my mind at rest thanks.