Self employed

mitt123

Hi all!
Im hoping someone can offer some help or peel me off the ceiling! 🙈

We have found our perfect home for sale but we had no plans to move so finances weren't great, we regularly use overdrafts, both have cc and loan etc. We have had a nationwide mortgage for 15 years and the last 4 yrs have been over paying. We approached them about increasing mortgage to move, financial advisor said we were well within the criteria but we have been declined due to monthly affordability they said specifically use of overdraft. Financial advisor has recommended we look at some other companies but as my husband is self employed, any application automatically goes to be reviewed by underwriter (currently 8 working days!! - if he was employed they said they could potentially give us a mortgage in principle today!) Im worried that if nationwide have got stricter, surely they all have? Is it worth applying elsewhere? Is it worth paying off loans or overdrafts (parents have kindly offered support!) Or would that not help as the last 3 months statements would still show the debt? Are there any companies that are more likely to lend to self employed people?! Would a guarantor been any good?! So many questions!!
 Im completely panicking that we will loose our dream house. Id appreciate any help 🙂

MovingForwards

Find a good whole of market mortgage broker, ask friends / family who have purchased in the last year or so who they used and if they would recommend them.

If you don't know anyone there are brokers who post on MSE, you can approach them, they cannot message you first.

@haras_n0sirrah is friendly and has helped many members get mortgages, so has @Deleted_User 

haras_n0sirrah

Nationwide are being very strict on credit utilisation at the moment if you are increasing your mortgage so it doesn't especially suprise me. Other lenders are a bit more leniant. AIP'S don't always go to underwriters (nationwide does but they are one of the only ones) however other lenders will go straight through on aip (but the application will go to underwriter)
Self employed at the moment is all about the last 3 months business bank statements 

mitt123

Thank you @haras_n0sirrah
I think MA is applying to halifax today, he has spoken to them on the phone and they have said its likely to go to underwriter for review. Nationwide cited our frequent use of overdraft as a problem. Our parents offered to clear them but MA said not needed?