Mortgage broker - ask me anything

Penguin_

How hard is it to upsize when one of the people on the mortgage is on a DMP? I currently own my home, single person on the mortgage, but am midway through a DMP. In the next 2-3 years, when the DMP could be still active (though I have 5 years left, I am trying to throw every penny at it!!) my GF & will be thinking about buying a new house which will require a new mortgage & for more money. I am panicking right now that we won't be able to do that! 

K_S

@penguin_ If you have a decent deposit and your DMP is being conducted well, there may be a couple of lenders willing to consider the case. But it'll depend on the specifics and the interest rates will likely be very high. I would recommend getting in touch with a broker to get a realistic idea of your chances.

Peppermint90

With proof/accumulation of deposit, does the solicitor need to satisfy the lender with documentation? Or is it just the solicitor who needs to be satisfied? 

Penguin_

K_S said:

@penguin_ If you have a decent deposit and your DMP is being conducted well, there may be a couple of lenders willing to consider the case. But it'll depend on the specifics and the interest rates will likely be very high. I would recommend getting in touch with a broker to get a realistic idea of your chances.

Ok thank you, will keep plugging away, would you say its best to try & clear the DMP or save more for deposit. Deposit will be quite good, I'd probably say 20% ish.

Aylen

K_S said:

@aylen What kind of accounts are we talking about? Are there any current arrears? Were the late payments consecutive?

Consecutive April May..it very and klarna buy now pay later accounts. Both settled now. No current arrears and not missed any payments for 6 months

K_S

Peppermint90 said:

With proof/accumulation of deposit, does the solicitor need to satisfy the lender with documentation? Or is it just the solicitor who needs to be satisfied? 

@peppermint90 The solicitor has AML regulations of their own but are also acting for the lender when checking source of deposit. The lender relies on the solicitor.

IAMIAM

Do HSBC/First Direct deal with brokers/intermediaries? 

K_S

@iamiam HSBC - yes, FD - no

IAMIAM

Last question, is it seen as 'ok' to remortgage to a lender but then change to another lender within 3-6 months if there is no ERC and free legals with both products etc.

K_S

IAMIAM said:

Last question, is it seen as 'ok' to remortgage to a lender but then change to another lender within 3-6 months if there is no ERC and free legals with both products etc.

@IAMIAM I'm not sure what you mean by "seen as ok" but if there's no restrictions in the mortgage t&cs which penalise you for moving, it should be ok. If you're asking whether that lender will make a note of it or "blacklist" you in some way, I think that's unlikely but couldn't say for sure what their internal processes are.