Mortgage broker - ask me anything

Gavin74

haras_n0sirrah said:

Gavin74 said:

haras_n0sirrah said:

Gavin74 said:

haras_n0sirrah said:

Gavin74 said:

Hi.
I'm thinking about buying a property which would be both our family home and a property letting business.
Where do I even start with mortgages for that sort of arrangement?

I am not 100% sure what you mean. Do you mean a letting agent below and a flat above to live in?

It's a house, with a couple of small cottages as holiday lets.

Are the holiday lets on the same title?

Yes, all on the same title

Looking at the criteria guides there are potentially some lenders who would look at this but they seem to have a max of 4 properties under 1 title.

Do you think it would it be just an ordinary mortgage, or would I need something different because of the commercial aspect?

haras_n0sirrah

WP20 said:

Good morning!

My post re. my situation hasn't yielded any results, so thought I'd come to you to see if you have any advice.

Long story short...

Me and my fiancé are first time buyers. Put in an offer, accepted and have mortgage in principle with Halifax. Very long down the line now, property searches and homebuyers report all done, due to exchange this month with any luck - however, we've not been asked re source of deposit until recently by our solicitor. Bulk of deposit is made up of our own savings and ISA funds.

However, £6000 is being gifted from my Mum, and £7000 gifted from her partner (not my biological Dad). Her and her partner have been together for 7 years, living together for 4 years, he has paid off his mortgage and very stable in job security etc. Both of these source of funds are gifts and not loans, super generous of them obviously.

My solicitor has a gifted deposit letter and certified documents from my Mum, and is now going to approach Halifax re my Mum's partners involvement, and said if needs be, will get him to sign a gifted deposit letter in the same vein as my Mum. The nature of the partners involvement is that he has gifted the funds to my Mum to gift to us, or this is how he has termed things (he deposited it into my Mum's savings account so there was a transaction history and she has transferred the funds to us ready to be sent to the solicitor). Our solicitor seems to be sure this won't be an issue, and my broker indicated a while back when discussing with us that it shouldn't be due to the nature of my Mum's partners relationship with both me and my Mum - whilst not a step-father, he is for all intents and purposes this to me but not in the eyes of the law, if that makes sense?

I'm a huge worrier and suffer badly with anxiety and am afraid that because my Mum's partner isn't my step-father that this will fall outside of Halifax's guidelines with gifted deposits and disqualify us from getting the mortgage outright.

My Mum's partner is of the opinion that if he has gifted the money to my Mum, and she is gifting that plus hers as a gift to us and signing to confirm it is in fact a gift and not a loan, then the bank shouldn't take issue with it - as my Mum is signing to confirm the monies are to be used towards the mortgage and she has no stake in the property etc, the bank are covered. What is your opinion/experience?

Thank you in advance.

Halifax will only allow deposits from family members. It will come down to whether your mother's boyfriend would be considered a family member 

haras_n0sirrah

wa1985 said:

Good morning! I am wondering how this might look from a lender’s point of view. I took payment breaks on my two loans and mortgage at the start of lockdown as it looked like my job was going to be in trouble. Turns out it wasn’t thankfully. I also had my house on the market at the time. When I realised my job wasn’t at risk, I paid all of the money back towards the loans to make up for the missed payments. However, I paid the mortgage money towards one of the loans as well, as I had secured a buyer by then so my reasoning was the whole mortgage will be getting paid back from the sale anyway. 

Our plan was to wait and buy in 6 months to a year but a house has come up now that we really like. But I’m aware that the mortgage provider might view my actions as not paying my mortgage back to favour a different debt. My mortgage has now been cleared but only last week, so it’s still showing as open on my credit file for now. Will they likely be put off by this do you think? My broker has suggested HSBC for the mortgage.

It will depend on the lender. Have you done an agreement in principle?

haras_n0sirrah

Gavin74 said:

haras_n0sirrah said:

Gavin74 said:

haras_n0sirrah said:

Gavin74 said:

haras_n0sirrah said:

Gavin74 said:

Hi.
I'm thinking about buying a property which would be both our family home and a property letting business.
Where do I even start with mortgages for that sort of arrangement?

I am not 100% sure what you mean. Do you mean a letting agent below and a flat above to live in?

It's a house, with a couple of small cottages as holiday lets.

Are the holiday lets on the same title?

Yes, all on the same title

Looking at the criteria guides there are potentially some lenders who would look at this but they seem to have a max of 4 properties under 1 title.

Do you think it would it be just an ordinary mortgage, or would I need something different because of the commercial aspect?

I imagine you would be looking at a specialist lender. It wont be a high street option

wa1985

haras_n0sirrah said:

wa1985 said:

Good morning! I am wondering how this might look from a lender’s point of view. I took payment breaks on my two loans and mortgage at the start of lockdown as it looked like my job was going to be in trouble. Turns out it wasn’t thankfully. I also had my house on the market at the time. When I realised my job wasn’t at risk, I paid all of the money back towards the loans to make up for the missed payments. However, I paid the mortgage money towards one of the loans as well, as I had secured a buyer by then so my reasoning was the whole mortgage will be getting paid back from the sale anyway. 

Our plan was to wait and buy in 6 months to a year but a house has come up now that we really like. But I’m aware that the mortgage provider might view my actions as not paying my mortgage back to favour a different debt. My mortgage has now been cleared but only last week, so it’s still showing as open on my credit file for now. Will they likely be put off by this do you think? My broker has suggested HSBC for the mortgage.

It will depend on the lender. Have you done an agreement in principle?

Yes we have. Is that likely to mean it’ll be okay do you think?

Penguin_

When my fixed rate comes to an end next year with Natwest I know I will revert to a SVR but I don't want my payments to change every month, do I have to re-mortgage to get a fixed rate deal?

ukblogger

Hi,
Which banks don't require statements for a remortgage do you know please? There's quite a few gambling transactions on mine from matched betting, but obviously this is going to be offputting to lenders. Are there any that don't require statements any more?

haras_n0sirrah

ukblogger said:

Hi,
Which banks don't require statements for a remortgage do you know please? There's quite a few gambling transactions on mine from matched betting, but obviously this is going to be offputting to lenders. Are there any that don't require statements any more?

There are lenders who are less likely to need it for the underwriters however you will need to provide them regardless for the file

haras_n0sirrah

Penguin_ said:

When my fixed rate comes to an end next year with Natwest I know I will revert to a SVR but I don't want my payments to change every month, do I have to re-mortgage to get a fixed rate deal?

Penguin_ said:

When my fixed rate comes to an end next year with Natwest I know I will revert to a SVR but I don't want my payments to change every month, do I have to re-mortgage to get a fixed rate deal?

You could refix and set up a standing order for the difference

Penguin_

haras_n0sirrah said:

Penguin_ said:

When my fixed rate comes to an end next year with Natwest I know I will revert to a SVR but I don't want my payments to change every month, do I have to re-mortgage to get a fixed rate deal?

Penguin_ said:

When my fixed rate comes to an end next year with Natwest I know I will revert to a SVR but I don't want my payments to change every month, do I have to re-mortgage to get a fixed rate deal?

You could refix and set up a standing order for the difference

Thanks, will a refix carry a full credit check?