Mortgage broker - ask me anything

daniyal12

K_S said:

daniyal12 said:

Hi me and my partner are in the process of buying a Btl property, we was pushed In to using the estate agents broker. After 3 weeks and taking his £500 fee he has said santander has declined the mortgage due to the property being a 3 bed semi and that the property I live in is a 2 bed terraced, he has said there is no scope for appeal and to apply to precise mortgages which attracts almlst a 5k product fee. Does anyone know if I am being fobbed of or is there any truth in what he is saying. 

Any help would be great 

@daniyal12 That explanation doesn't make sense on its own. But it sounds like he's saying Santander's declined it suspecting that it might be a backdoor-residential purchase.

Are you first time landlords? Is the BTL property close to your current residence or in the same town?

Santander to Precise is quite a jump, but that might be due to the rental calcs not stacking up.

The property is about 5 miles away, we genuinely have no reason to move, we have no kids and our current property is about 20 years old and we recently had a office built in the garden so have no intention to move anytime soon. We are first time landlords, I no with santander we had to take a 5 year product due to property price being 425k, deposit 25% and rental income was £1500, its stressing me out as it is a vacant property and the sellers wanted to complete before end of march, searches and most legals had been done

K_S

daniyal12 said:

K_S said:

daniyal12 said:

Hi me and my partner are in the process of buying a Btl property, we was pushed In to using the estate agents broker. After 3 weeks and taking his £500 fee he has said santander has declined the mortgage due to the property being a 3 bed semi and that the property I live in is a 2 bed terraced, he has said there is no scope for appeal and to apply to precise mortgages which attracts almlst a 5k product fee. Does anyone know if I am being fobbed of or is there any truth in what he is saying. 

Any help would be great 

@daniyal12 That explanation doesn't make sense on its own. But it sounds like he's saying Santander's declined it suspecting that it might be a backdoor-residential purchase.

Are you first time landlords? Is the BTL property close to your current residence or in the same town?

Santander to Precise is quite a jump, but that might be due to the rental calcs not stacking up.

The property is about 5 miles away, we genuinely have no reason to move, we have no kids and our current property is about 20 years old and we recently had a office built in the garden so have no intention to move anytime soon. We are first time landlords, I no with santander we had to take a 5 year product due to property price being 425k, deposit 25% and rental income was £1500, its stressing me out as it is a vacant property and the sellers wanted to complete before end of march, searches and most legals had been done

@daniyal12 It's unfortunate, but that probably explains the decline from Santander.

I don't have the whole picture, but with those numbers I'd still expect that there are a couple of cheaper lenders before getting to Precise from Santander.

K_S

lis1320 said:

I've got a couple of questions I was hoping someone could answer here.
1. I have a salary of £25,700 but also a yearly £1750 for additional responsibilities which gets paid annually. Having had  a look at some affordability calculators, they ask for gross basic salary, guaranteed overtime, guaranteed bonus etc. Would the £1750 count as that or is it just part of my gross income? Does it even matter to lenders?

2.  I pay £150 monthly for my pension, and my partner is about to start a similar position too, which means his pension will go from about £50 to £150 a month. Mortgage calculators ask for monthly outgoings (credit cards, pensions etc) and even just this extra £100 makes a few thousand difference in what lenders would lend us. Do lenders view it at all differently to credit payments? My gut feeling is telling me if it's an outgoing then it's an outgoing, and we'll just have to live with the lower possible mortgage offer.

@lis1320

1. If it's a fixed, guaranteed amount, I'd be cautiously optimistic that it should be considered 100% for affordablity, subject to evidence required by the specific lender

2. Most lenders will ignore pension deductions from salary for affordablity purposes.

K_S

mandycurl said:

Hi there!
Myself and my partner are looking to get our first mortgage together. 

Partners’ parents have signed over deeds of their house to both siblings but parents still reside there.
I inherited a 1/4 of my mothers property on her death and her surviving partner remains in the property until sells or passes away.
Given above information are we likely to meet any obstacles in the mortgage process or can you give us an idea of documentation we may need to prepare? 

We both live in rented accommodation so don’t actively pay or live in either properties.
Thanks In advance for any advice you may have!:) 

@mandycurl Are you or your partner party to mortgages on either of these properties that you own a share of?

mandycurl

K_S said:

mandycurl said:

Hi there!
Myself and my partner are looking to get our first mortgage together. 

Partners’ parents have signed over deeds of their house to both siblings but parents still reside there.
I inherited a 1/4 of my mothers property on her death and her surviving partner remains in the property until sells or passes away.
Given above information are we likely to meet any obstacles in the mortgage process or can you give us an idea of documentation we may need to prepare? 

We both live in rented accommodation so don’t actively pay or live in either properties.
Thanks In advance for any advice you may have!:) 

@mandycurl Are you or your partner party to mortgages on either of these properties that you own a share of?

Thanks for the reply!

No we don’t👍🏻

K_S

@mandycurl In that case it *shouldn't* have a significant impact on your chances of a mortgage. But that's just a very general assessment based on the limited info in your post.

mandycurl

@K_S thank you for your advice!👍🏻

SuzieP2475

Hello,

Firstly, I share a mortgage with my partner that the fix is coming to an end 30th June.  House valuation £285000, Mortgage £156000 looking at re-mortgage which is now in 60% LTV. Should we just go for a product change with current lender or re-mortgage? Do you still pay product fees on a product change?

That's the easy bit, my partner as a buy to let mortgage in his name only. £102,000 interest only, house valuation £160,000. He is looking at selling this property to his Son. The questions, can he do so and gift a deposit out of the equity because he doesn't have a deposit? Could he have a shared re-payment  mortgage with him even though we have a current  mortgage together?  Salary details, me £46K, partner £30K

Any help would be appreciated.

Thanks

Bubbly81

Hi, my husband and I are hoping to get our first mortgage, using inheritance money as a deposit, which we are still waiting for at the moment so not in the position to proceed with anything at the moment. My question is, My husband is salaried but I am a self employed hairdresser so out of work at the moment due to the pandemic, will claiming the seiss grants count towards my income or will it be disregarded? 

K_S

Bubbly81 said:

Hi, my husband and I are hoping to get our first mortgage, using inheritance money as a deposit, which we are still waiting for at the moment so not in the position to proceed with anything at the moment. My question is, My husband is salaried but I am a self employed hairdresser so out of work at the moment due to the pandemic, will claiming the seiss grants count towards my income or will it be disregarded? 

@bubbly81 There's no firm answer to your question yet as SEISS grants haven't started appearing in post year-end SE accounts yet for mortgage purposes.

With the long break in earnings, I imagine there will be bigger issues in play when in comes to using your income for a mortgage.