Mortgage broker - ask me anything

Channy8

K_S said:

Channy8 said:

Pls i just want to find out, is it possible to get a mortgage while on 100% benefit with no work?

@channy8 Potentially yes. It will depend on which specific benefits and how the lender assesses sustainability, etc.

Thank you

ftb_allhopelost

K_S 

@ftb_allhopelost If your application was dependent on your partner's UC being considered, then I'm not sure why it was placed with KR as they do not accept UC as an income type.

It's not possible to say if you have any other options or not without getting all the facts and talking to a couple of lenders. I would recommend getting in touch with another broker to get a second/final opinion before giving up, preferably one that only charges a fee on mortgage offer. Good luck!

Wow thank you for this information. I have always been confused on how KR could just do a U-turn and reduce the offer since they had been aware from the onset of the universal credit element.

Are you able to point me in the right direction of any adviser that might be able to help?

Mark_1986

Hi, this is my first post here.
Is it at all possible to get 5 or even 5.25 times salary mortgage with 15% deposit at the moment?
Some background info: married, no dependants, both full-time employed, salaries of £44k and £48k, current debt of £5k on credit cards and £5k loan, no bad credit. 

Also, talking with the Sales Consultant, she is suggesting that we reserve the plot we want nowish, because of high demand etc., but it won't be completed until December(!). I'm concerned because if we get a mortgage offer in a month or two, it will expire six months later i.e. in September/October and we will need to ask for extension (or maybe even re-apply)? I'm not sure whether I want to risk the deposit (paid on exchange of contracts) if something goes wrong...

Thank you for your help

K_S

Mark_1986 said:

Hi, this is my first post here.
Is it at all possible to get 5 or even 5.25 times salary mortgage with 15% deposit at the moment?
Some background info: married, no dependants, both full-time employed, salaries of £44k and £48k, current debt of £5k on credit cards and £5k loan, no bad credit. 

@mark_1986 Based on the limited info in your post, 5x should be possible. Any more than that may be possible depending on your profession.

Depending on the lender, new build offers are generally extendable after 6 months without having to reapply. 

big_saver_5

ftb_allhopelost said:

K_S 

@ftb_allhopelost If your application was dependent on your partner's UC being considered, then I'm not sure why it was placed with KR as they do not accept UC as an income type.

It's not possible to say if you have any other options or not without getting all the facts and talking to a couple of lenders. I would recommend getting in touch with another broker to get a second/final opinion before giving up, preferably one that only charges a fee on mortgage offer. Good luck!

Wow thank you for this information. I have always been confused on how KR could just do a U-turn and reduce the offer since they had been aware from the onset of the universal credit element.

Are you able to point me in the right direction of any adviser that might be able to help?

haras_n0sirrah who started this thread is a shared ownership mortgage specialist. She isnt on the boards any more but I used her for my mortgage and was really happy. If you want her contact details let me know.

K_S

ftb_allhopelost said:

K_S 

@ftb_allhopelost If your application was dependent on your partner's UC being considered, then I'm not sure why it was placed with KR as they do not accept UC as an income type.

It's not possible to say if you have any other options or not without getting all the facts and talking to a couple of lenders. I would recommend getting in touch with another broker to get a second/final opinion before giving up, preferably one that only charges a fee on mortgage offer. Good luck!

Wow thank you for this information. I have always been confused on how KR could just do a U-turn and reduce the offer since they had been aware from the onset of the universal credit element.

@ftb_allhopelost KR hasn't u-turned. Your broker placed it with KR not knowing (or not checking with them prior to application) that as per KR criteria "Universal credit is underwriters discretion and we can only take the child element, as long as this is showing on the awards letter."

So there was never any chance that they would consider anything other than the child element of UC.

I know it doesn't help you get a mortgage but imho this is sufficient grounds for a broker complaint and at the very least a refund of the broker fee. You could even push for a refund of the monies lost in the process by this application that was doomed to fail affordability from the start. 

GeorgianaCavendish

This is my first post in the mortgage section, so apologies if I'm asking questions that are blindingly obvious! 
My husband & I are currently saving towards a deposit and planning to buy in Q1/Q2 2022. We're aiming for 20%+ deposit on a max property value £450K (as we're using LISAs) Income is £75K + £45K. I work full time, husband works p/t (80%)
We've currently got £6K of credit card debt which will be cleared by the end of this year but no other debt. However, we have paid off a lot of consumer debt over last 3/4 years (in the 35K region). How much could past credit history affect a mortgage application? We don't have any defaults or missed payments in this time, but I'm a bit paranoid that our previous debt levels would count against us. 
Aside from making sure we've got the deposit, is there anything else that we should do over the next 12 months to make ourselves more attractive to lenders?

ftb_allhopelost

K_S said:

Wow thank you for this information. I have always been confused on how KR could just do a U-turn and reduce the offer since they had been aware from the onset of the universal credit element.

@ftb_allhopelost KR hasn't u-turned. Your broker placed it with KR not knowing (or not checking with them prior to application) that as per KR criteria "Universal credit is underwriters discretion and we can only take the child element, as long as this is showing on the awards letter."

So there was never any chance that they would consider anything other than the child element of UC.

I know it doesn't help you get a mortgage but imho this is sufficient grounds for a broker complaint and at the very least a refund of the broker fee. You could even push for a refund of the monies lost in the process by this application that was doomed to fail affordability from the start. 

This is great. I will write up a complaint to the MA based on this. Thank you

K_S

GeorgianaCavendish said:

This is my first post in the mortgage section, so apologies if I'm asking questions that are blindingly obvious! 
My husband & I are currently saving towards a deposit and planning to buy in Q1/Q2 2022. We're aiming for 20%+ deposit on a max property value £450K (as we're using LISAs) Income is £75K + £45K. I work full time, husband works p/t (80%)
We've currently got £6K of credit card debt which will be cleared by the end of this year but no other debt. However, we have paid off a lot of consumer debt over last 3/4 years (in the 35K region). How much could past credit history affect a mortgage application? We don't have any defaults or missed payments in this time, but I'm a bit paranoid that our previous debt levels would count against us. 
Aside from making sure we've got the deposit, is there anything else that we should do over the next 12 months to make ourselves more attractive to lenders?

@GeorgianaCavendish Your old paid off consumer debt will have no impact on your mortgage in 2022. You are only looking to borrow 3x income with a 20% deposit and should be fine. All you need to do from now until then is keep your credit file squeaky clean. Good luck!

GeorgianaCavendish

K_S said:

GeorgianaCavendish said:

This is my first post in the mortgage section, so apologies if I'm asking questions that are blindingly obvious! 
My husband & I are currently saving towards a deposit and planning to buy in Q1/Q2 2022. We're aiming for 20%+ deposit on a max property value £450K (as we're using LISAs) Income is £75K + £45K. I work full time, husband works p/t (80%)
We've currently got £6K of credit card debt which will be cleared by the end of this year but no other debt. However, we have paid off a lot of consumer debt over last 3/4 years (in the 35K region). How much could past credit history affect a mortgage application? We don't have any defaults or missed payments in this time, but I'm a bit paranoid that our previous debt levels would count against us. 
Aside from making sure we've got the deposit, is there anything else that we should do over the next 12 months to make ourselves more attractive to lenders?

@GeorgianaCavendish Your old paid off consumer debt will have no impact on your mortgage in 2022. You are only looking to borrow 3x income with a 20% deposit and should be fine. All you need to do from now until then is keep your credit file squeaky clean. Good luck!

Thank you so much, this is a big relief! We'll make sure our credit file stays clean until the application