5% Deposit Shared Ownership Lenders

scholesfan88

Hi

Can anyone recommend lenders for a 5% deposit new build shared ownership scheme (house)? Preferably those that are more lenient on existing debt. Looking at 65%/75% share

We had a traditional residential 95% LTV mortgage offer recently but the sale fell through. We have found a new build development that a local HA has snapped up the last few plots and this would be a forever home (HA affordability passed, Shared Ownership approved by local agent).

Due to my partner having adverse due to a previous relationship, the application is solely in my name and we both have cars on HP in my name too, so my personal debt is higher than I'd like.

The traditional mortgage was with West Brom who seemed to almost discredit any HP/Loan payments on affordability

Kent Reliance looks an option through a broker, but apparently very slow?

Thanks

haras_nosirrah

I am a shared ownership mortgage specialist on the panel of a couple of different housing associations.

Depending on the age of the adverse there are a number of lenders who are ok with minor adverse.

If it is more than a few missed payments then the criteria for the most adverse most housing associations accept (they don't tend to accept lenders like together mortgages who are extreme adverse) is defaults over 3 years old need to be cleared before application, defaults under 3 years need to be cleared 12 months before application.

scholesfan88

haras_nosirrah wrote: »

I am a shared ownership mortgage specialist on the panel of a couple of different housing associations.

Depending on the age of the adverse there are a number of lenders who are ok with minor adverse.

If it is more than a few missed payments then the criteria for the most adverse most housing associations accept (they don't tend to accept lenders like together mortgages who are extreme adverse) is defaults over 3 years old need to be cleared before application, defaults under 3 years need to be cleared 12 months before application.

Thanks Haras.

The adverse is out of the question for my partner, which is why the property will go solely within my name.

What I'm looking for is lenders who are a little more lenient with debt to income ratio of myself. It is not massive, but on affordability calculators it seems to tip alot of lenders over the edge, where someone like the west brom was fine with it.

My credit history is fine and I have no history of adverse.

The company the housing association uses for affordability assessments have done a DIP with Kent Reliance, however they don't seem the cheapest.

Thanks

haras_nosirrah

Kent are an adverse lender so won't be the cheapest.

If you have no adverse it seems a strange choice

scholesfan88

haras_nosirrah wrote: »

Kent are an adverse lender so won't be the cheapest.

If you have no adverse it seems a strange choice

I have a '2' late payment marker for a £31 mobile contract which was 3.5 years ago. The account was settled straight away once i was made aware, the contract had ended and I cancelled the DD not realising a final bill was due.

Surely that wouldn't class me as sub prime/adverse?

haras_nosirrah

I wouldn't have thought so as many lenders ignore communications missed payments.

Have you considered a second opinion?

scholesfan88

haras_nosirrah wrote: »

I wouldn't have thought so as many lenders ignore communications missed payments.

Have you considered a second opinion?

I have another appointment with the broker on Tuesday after our reservation appointment with the HA.

If no viable options other than Kent then I'll probably start looking for an alternative broker.

I'm just wondering if the broker has worked on a worse case scenario first for the AIP.