How likely to get a mortgage offer?

agagagag

We have put an offer in on our dream house and I'm so nervous about our chances of being accepted.

We went through an online broker (trussle) and got an AIP for Digital Mortgages with them. We got to the stage where we were ready to submit the application then the broker said Digital wouldn't accept us because my partner has only been in work for 3 months and was unemployed for 9 months+ prior to that so no pay slips.

They are now resubmitting to HSBC. I'm worried because we are asking for a 95% mortgage, as mentioned my partner hasn't had his job very long and I have some credit card and overdraft debt (around £8,000 ) I do pay off my overdraft every month when I get paid but inevitably end up back in it. It's currently £750 limit.

Things that may be positives: I have an income of £35,000 plus additional £3,800 from rental income on a house I own (mortgage free). Partner earns around £17,500 a year and has a pension of around £2000 a year. I 'think' both of us have clear credit records - no defaults, late payments, CCJs etc.

What are our chances of being accepted for a mortgage?

haras_nosirrah

Hsbc do do within probation but will look at gaps of employment and length of time in new type of work

With a 9 month gap I wouldn't be confident here

Other lenders are better at new jobs

[Deleted User]

First question would be; Did you hide the fact your partner was only recently employed from trussle? If not then why in gods name did they give you an aip from a lender that wasnt going to lend you money? And you still stuck with them? Incredible


So with HSBC their underwriting is a very simple process. If you pass the credit scoring on the full application (it doesnt decline as soon as the button is pressed) then it moves to a document check team. They only ask for the most recent payslip in the majority of cases and they check that the numbers match the application. Easy peasy

However, if there is less than 6 months of emplyment there is a good chance it will get sent for manual underwriting. Last one i had with 3 months I had to send the last p60, the p45 from leaving, and a copy of the contract showing no probationary period. They take a manual approach so will depend on the underwriter you get i think.

Certainly not the lender I would have chosen for 3 months employment with unemployed prior.

How much are you trying to borrow?

agagagag

It was made clear from the start that my partner had only just started working. It came as a bit of a shock that they threw it back at the last minute to be honest. I stuck with them because I was scared of the time it would take to start the whole process again I suppose. We had our offer accepted end of August and have only just got to application stage.

We want to borrow £175,000 with £10,000 deposit.

[Deleted User]

Numbers add up fine, just going to be down to underwriting. Sorry we can't give you the reassurances you want but hsbc are a really really odd choice for a case like this.

Plenty lenders with similar rates would do it with no questions.

haras_nosirrah

Is she in a probation period? If she is in a probation period then I would try elsewhere especially if you are in a hurry.

I would ditch trussle. It has taken you a month and you haven't put in a mortgage application yet.

When people ask what we as brokers have against the online free companies. This is basically it.

If the case is easy and the clients can go to any bank then they are fine as they are basically a rate comparison site. If the case needs a brain to do some work then avoid as they are useless at anything more complex

LRmortgage

I’m sorry to say that HSBC wouldn’t be my choice of lender for this case either.

Fingers crossed for you, if the app hasn’t been submitted yet I’d be moving away from trussle and to a local broker.

I know if you came to a local brokerage like ours and you had all your docs etc ready, we could get an application in for you within 24 - 48 hours so very little time lost.

I’m sure a local broker to you could also offer a similar timescale.

haras_nosirrah

Or if you don't have a local broker and are happy to deal online read through the posts and see if there is a broker on here who you feel gives good advice and pm them for help. You could probably have an agreement in principle on Monday if you have your docs together.

agagagag

Thanks for all your advice.

The application has already been submitted. I've had an email today from the vendor's estate agents saying that the valuation survey has been booked. Can I read anything positive into this or would it just have been booked on receipt of application?

[Deleted User]

agagagag wrote: »

Thanks for all your advice.

The application has already been submitted. I've had an email today from the vendor's estate agents saying that the valuation survey has been booked. Can I read anything positive into this or would it just have been booked on receipt of application?

Application passed credit check which is great news. Broker should know if it was a straight accept (in which case a single payslip from each of you and an acceptable valuation should send it to offer) or it was a referred accept in which case it will be assessed manually.