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Did full mortgage application but lender reduced AIP amount by almost half!!

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FOREIGN OFFICE TRAVEL ADVICE * FURLOUGH UPDATE * MORTGAGE LENDING

Did full mortgage application but lender reduced AIP amount by almost half!!

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tweetny1515tweetny1515 Forumite
5 posts
Name Dropper First Post
MoneySaving Newbie
Hello all, hoping I can get some guidance here on what to do next.
We applied for a mortgage (first house) with Santander but only at the last minute they decided that my 2nd job income can't be used for affordability, and almost halved what they originally offered in our agreement in principle! what are our options now? With the new offer we just can't afford the house we really want :( 
do we:
  1. go to a different lender, and if so would they see Santander's decision on our credit report and would it show the level of borrowing Santander decided we are allowed?
  2. On the new application(if we decided to go ahead), I remembered there's a question along the lines of "have you recently applied for a mortgage which was rejected", what do we put? as our application was not rejected, only with a revised borrowing amount?
Thanks so much..... I am so upset!!!



Replies

  • Carrot007Carrot007 Forumite
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    What does your mrotgage broker say?

    You had one right?

    No, just randomly choosing thing? Bad idea.

    Get a decent broker (full market and not expensive, often free). They will be able to choose a good one for your situation. You will wonder why you never did nott in the first place.

  • MovingForwardsMovingForwards Forumite
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    1. No, they don't see what was offered.

    2. No, as you were not rejected for a mortgage.

    Speak with a broker as they will manage your expectations, know what lenders accept what and who best to place you with.

    Lenders don't always accept 2nd job income,a lot of people take on a second job to try and boost the money they can borrow, then ditch the second job after getting the mortgage. Lenders are also aware it's difficult to maintain a full time and part time job for a 25 year mortgage term.

    How long have you had your 2nd job?
  • tweetny1515tweetny1515 Forumite
    5 posts
    Name Dropper First Post
    MoneySaving Newbie
    Hi @MovingForwards and @Carrot007 thanks for your replies.
    Had my 2nd job for over a year now but started new main job since last December....
    phew.... i was worried that my credit file would be ruined for the application i had done! not in an ideal situation but at least i know i can still try another lender, thanks again!

  • edited 21 February at 12:38AM
    ThrugelmirThrugelmir Forumite
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    edited 21 February at 12:38AM
    Is working in two jobs feasible in the longer term?  The lender may just be being pragmatic. 
    "Markets have been so good for so long. That many investors are trivialising the advantages of actively managing portfolio risk." - Gervais Williams
  • tweetny1515tweetny1515 Forumite
    5 posts
    Name Dropper First Post
    MoneySaving Newbie
    Is working in two jobs feasible in the longer term?  The lender may just be being pragmatic. 
    My main job i do 5 hours in the day and evening job is at a takeaway again 5.5hours.... That's pretty much equal to some people at retail doing 10-12hours shift right?? 
  • AlaraeAlarae Forumite
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    Is it perhaps Santander are viewing your 'main' job as the second job, and as you haven't been there a year they are not taking it into account?

    I got my Santander mortgage with a full time job (37.5 hours) and a second job (~15 hours a week) however I had been in both jobs for at least two years, so they knew it was sustainable.

    Sounds like Santander don't think you have enough of a track record maintaining both jobs and therefore ignored one of them. 
  • MovingForwardsMovingForwards Forumite
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    Hi @MovingForwards and @Carrot007 thanks for your replies.
    Had my 2nd job for over a year now but started new main job since last December....
    phew.... i was worried that my credit file would be ruined for the application i had done! not in an ideal situation but at least i know i can still try another lender, thanks again!

    Is working in two jobs feasible in the longer term?  The lender may just be being pragmatic. 
    My main job i do 5 hours in the day and evening job is at a takeaway again 5.5hours.... That's pretty much equal to some people at retail doing 10-12hours shift right?? 
    I think you will struggle, I thought you were trying to get a mortgage based on a full time and a part time job, not two part time jobs.

    I've read a thread before where a broker had a client with three part time jobs, but had been doing all three for a long time.

    You will be best of putting numbers up:
    Your co-buyers income?
    How long have they been in the job?
    Fixed term / contact/ permanent job?
    Your income from 1st job?
    Your income from 2nd job?
    Your deposit?
    Property value you want to buy?
    Any gifted deposit?
    Any Help2Buy loan?
    Any credit cards/loans/PCP etc?
    If so, outstanding balances?

  • tweetny1515tweetny1515 Forumite
    5 posts
    Name Dropper First Post
    MoneySaving Newbie
    Alarae said:
    Is it perhaps Santander are viewing your 'main' job as the second job, and as you haven't been there a year they are not taking it into account?

    I got my Santander mortgage with a full time job (37.5 hours) and a second job (~15 hours a week) however I had been in both jobs for at least two years, so they knew it was sustainable.

    Sounds like Santander don't think you have enough of a track record maintaining both jobs and therefore ignored one of them. 
    to me my 2 jobs are very reasonable combined hours and manageable, i guess the banks just see it differently! will be getting help from a broker next week hopefully will get somewhere! Thanks again also to @MovingForwards , fingers cross the broker will find us a suitable lender.... 
  • ACGACG Forumite
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    Try a broker or a different lender.
    Answer the questions as they are asked. If it asks have you been declined, the answer would be no in my opinion.

    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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