Mortgage broker - ask me anything

ajharding1980

K_S said:

ajharding1980 said:

K_S said:

ajharding1980 said:

My application has been with Barclays since last Wednesday (10 days).   They carried out a credit search on Monday and the valuation on Wednesday gone.  I'm still waiting to hear.  Do you think underwriting would of happened prior to the valuation?  I have applied via a broker and I'm self employed (Ltd company).

@ajharding1980 As an SE applicantion, I would expect that it'll be subject to manual underwriting/review and it's probably sitting in a queue waiting to be looked at. 

Do you think I'd of already had any underwriting during the credit check and valuation stage?  Surely Barclays wouldnt carry out a valuation prior to affordability checks?  What are the final underwriter manual checks?

@ajharding1980 It's highly unlikely that underwriting on a self-employed application would be completed within 3-4 working days of application. 

Its been longer than that ...
17 Feb Application Submitted
18 Feb DIP Issued
22 Feb Hard Credit Search
24 Feb Desktop Valuation

Walesgirl

Hi,

My husband has a ccj that was registered in January 2019. We have 15% deposit possibly 20% by end of May depending on house value. 

If we find somewhere and have to find an adverse company that accepts ccjs registered over 24 months ago then the house purchase takes us passed January 2022 (over 36 months),  would we be able to switch products with a lower rate? 

I’ve seen houses we like come up and take 9/10 months to complete. 

K_S

Walesgirl said:

Hi,

My husband has a ccj that was registered in January 2019. We have 15% deposit possibly 20% by end of May depending on house value. 

If we find somewhere and have to find an adverse company that accepts ccjs registered over 24 months ago then the house purchase takes us passed January 2022 (over 36 months),  would we be able to switch products with a lower rate? 

I’ve seen houses we like come up and take 9/10 months to complete. 

@walesgirl Prior to completion, you can change lenders if you wish to and time permits. There may be some incurred costs that you can't recover.

K_S

ajharding1980 said:

K_S said:

ajharding1980 said:

K_S said:

ajharding1980 said:

My application has been with Barclays since last Wednesday (10 days).   They carried out a credit search on Monday and the valuation on Wednesday gone.  I'm still waiting to hear.  Do you think underwriting would of happened prior to the valuation?  I have applied via a broker and I'm self employed (Ltd company).

@ajharding1980 As an SE applicantion, I would expect that it'll be subject to manual underwriting/review and it's probably sitting in a queue waiting to be looked at. 

Do you think I'd of already had any underwriting during the credit check and valuation stage?  Surely Barclays wouldnt carry out a valuation prior to affordability checks?  What are the final underwriter manual checks?

@ajharding1980 It's highly unlikely that underwriting on a self-employed application would be completed within 3-4 working days of application. 

Its been longer than that ...
17 Feb Application Submitted
18 Feb DIP Issued
22 Feb Hard Credit Search
24 Feb Desktop Valuation

@ajharding1980 A full mortgage application would have been submitted only after a DIP accept. I haven't done any Barclays SE apps recently so can't comment on current service levels first-hand but your timelines don't seem excessively long at all for a Barclays SE application in general. Good luck!

trackboy

Do any lender count 100% of overtime income if proven with latest 3 to 4 months of income. I am in shift work job so most of my income is earned through shift allowance, london allowance and over time in addition to my base salary pa.

K_S

trackboy said:

Do any lender count 100% of overtime income if proven with latest 3 to 4 months of income. I am in shift work job so most of my income is earned through shift allowance, london allowance and over time in addition to my base salary pa.

@trackboy A fixed London allowance is likely to be fine. A shift-allowance may also be fine depending on the specifics.

But for OT, generally speaking, with current criteria, you'll struggle to find a lender who will take it at 100% with just a 3-4 month track record.

trackboy

K_S said:

trackboy said:

Do any lender count 100% of overtime income if proven with latest 3 to 4 months of income. I am in shift work job so most of my income is earned through shift allowance, london allowance and over time in addition to my base salary pa.

@trackboy A fixed London allowance is likely to be fine. A shift-allowance may also be fine depending on the specifics.

But for OT, generally speaking, with current criteria, you'll struggle to find a lender who will take it at 100% with just a 3-4 month track record.

How many months of consistent overtime is required to take that into consideration. If not 100% how much of it is acceptable?

K_S

trackboy said:

K_S said:

trackboy said:

Do any lender count 100% of overtime income if proven with latest 3 to 4 months of income. I am in shift work job so most of my income is earned through shift allowance, london allowance and over time in addition to my base salary pa.

@trackboy A fixed London allowance is likely to be fine. A shift-allowance may also be fine depending on the specifics.

But for OT, generally speaking, with current criteria, you'll struggle to find a lender who will take it at 100% with just a 3-4 month track record.

How many months of consistent overtime is required to take that into consideration. If not 100% how much of it is acceptable?

@trackboy Generally speaking, for 100% you want 12 months or it to show on your last P60.

For mainstream lenders - often around 50% though the exact number will depend on the specific lender and the specifics of your OT numbers.

mwcraddock

Hi

We have just got an offer accepted on a new house. We are putting down 85% LTV to unlock money to do renovations. It's a bit daunting as the monthly payments are slightly higher than we wanted. What would you recommend is the best way of funding things such as kitchen extensions when buying a house? We're concerned the money we keep aside won't be enough to do the entire property in one go...

Susanmorris

Hi, Im tied in to a fixed interest rate mortgage, I did this due to Brexit, then COVID struck and interest rates dropped. Im now stuck with a high interst rate mortgage for another 3 years, is it worth paying the penalty and shop around for a better deal?