Stressed out - could do with some reassurance if possible?!

Peter74

Hi everyone, I've just joined but have been reading these threads for the past few days.

My wife and I are looking to move house after living in our current home for the past 17 years.  We are both company directors running a successful business but due to the industry we are in, have taken a bit of a hit in recent months.  The outlook is brighter however and we estimate things will start back up again end of year/early next year.  Our "dream" house (one that we weren't in a position to buy 7 years when last on the market) was put up for sale and of course we went for it especially with the stamp duty cut in place.  Our mortgage is currently with Santander underwriters.  We provided recent company payslips and an accountant's certificate showing PAYE/dividends earnings for previous 3 years; affordability based on those earnings checks out.  Credit checks were obviously carried on us both and approved (one is "excellent" one is "outstanding". We have continued to pay ourselves as normal from the business We are putting down a 40% deposit from the sale of our own home and we also have nearly £200k of equity in investment property, the details of which were requested by Santander as the investment property mortgage was on the credit file. 

Am just wondering whether the 40% deposit and our equity will stand us in good stead even though we are lacking a temporary income stream?  I totally understand that's it out of our control now anyway just more intrigued as to whether anyone has encountered anything similar?

Thanks for your time!

amnblog

Expect Santander to be interested in the market you are in, and it’s likely route going forward. Also, whether you have taken any bounce back or other loans this year, if so, what have you done with the money?
Dont be surprised if they ask for 3 months business bank statements and details of your order book if appropriate.

csgohan4

Self employed and 'taken a bit of a hit in recent months' will be of some concern for the underwriters and expect them to want more information. 

That large deposit may help, but the key will be in the details

Peter74

Thanks for your response.  We did take a BBIL fo £50k which is pretty much still sitting there in our account.  Our business bank account is with Santander so they wouldn't need to request.  Order book wouldn't look good at all from March onwards.

Ah well, who else can we try?    

Peter74

csgohan4 said:

Self employed and 'taken a bit of a hit in recent months' will be of some concern for the underwriters and expect them to want more information. 

That large deposit may help, but the key will be in the details

Thanks for your response.  That's what we thought, not overly confident about this tbh.  Would a guarantor help things at all (that would have assets that would cover the entirety of the mortgage)?

Peter74

If anyone knows a broker that would be of any use to us in our particular position, we’d very much appreciate recommendations.
Thanks

MovingForwards

You could try messaging @haras_n0sirrah or @Deleted_User to see if they can help. Both are brokers who post on MSE, you can approach them, they cannot message you first.

csgohan4

MovingForwards said:

You could try messaging @haras_n0sirrah or @Deleted_User to see if they can help. Both are brokers who post on MSE, you can approach them, they cannot message you first.

Don't forget @ACG

haras_n0sirrah

At the moment lenders are looking at the latest 3 months bank statements to get a feel for how the business has been affected by covid. They will want to know how things have been affected and whether things are 'back to normal'. What industry are you in?

katiescotland88

Hello. Just wanted to say hi and say that we are also a self employed couple awaiting a mortgage decision with HSBC and have some debt. Will keep in touch to let you know! The wait is agonising!!

MovingForwards

csgohan4 said:

MovingForwards said:

You could try messaging @haras_n0sirrah or @Deleted_User to see if they can help. Both are brokers who post on MSE, you can approach them, they cannot message you first.

Don't forget @ACG

Never would, he got me my home 😉 normally I save T for adverse recommendations 😁