Mortgage broker - ask me anything

leypt1

K_S said:

leypt1 said:

K_S said:

leypt1 said:

Hi,
We're thinking of putting in an offer on a house of non-standard construction (1970s timber framed, ex council). Just how hard is it to get a mortgage, and will we be looking at a higher interest rate? We have a 15% deposit.
Thanks so much for your help

@leypt1 Very generally speaking, from experience, post 1970 timber framed houses are usually mortgageable with the right lender as long as they have a traditional (brick, stone, etc.) outer skin.

The 15% deposit may be a limiting factor as some lenders have lower LTV caps for ex-council houses. It's hard to comment on the rates but assuming the property is acceptable to lenders that lend on timber-framed properties, the rates should be mainstream-ish at least. Based on the limited info in your post, likely one for a broker.

Thank you! Hard to say whether there are brick walls - they feel solid, and there is a visible brick end wall on the end terrace. 

I do have another question. We've found ourselves living in Air BnBs for the last few weeks while waiting for our purchase to finish. The sale has now fallen through (hence why we're offering on a new property) - will our lack of a fixed address be an issue when applying for a mortgage? Do we need to find a longer-term rental ASAP?

@leypt1 What are you doing now with respect to address on bank accounts etc?

just kept the old address (we were staying with friends and family)...should we change it each time move between Air BnBs? Appreciate we should really have a more stable living situation than this! It's been a totally crap few months.

K_S

leypt1 said:

K_S said:

leypt1 said:

K_S said:

leypt1 said:

Hi,
We're thinking of putting in an offer on a house of non-standard construction (1970s timber framed, ex council). Just how hard is it to get a mortgage, and will we be looking at a higher interest rate? We have a 15% deposit.
Thanks so much for your help

@leypt1 Very generally speaking, from experience, post 1970 timber framed houses are usually mortgageable with the right lender as long as they have a traditional (brick, stone, etc.) outer skin.

The 15% deposit may be a limiting factor as some lenders have lower LTV caps for ex-council houses. It's hard to comment on the rates but assuming the property is acceptable to lenders that lend on timber-framed properties, the rates should be mainstream-ish at least. Based on the limited info in your post, likely one for a broker.

Thank you! Hard to say whether there are brick walls - they feel solid, and there is a visible brick end wall on the end terrace. 

I do have another question. We've found ourselves living in Air BnBs for the last few weeks while waiting for our purchase to finish. The sale has now fallen through (hence why we're offering on a new property) - will our lack of a fixed address be an issue when applying for a mortgage? Do we need to find a longer-term rental ASAP?

@leypt1 What are you doing now with respect to address on bank accounts etc?

just kept the old address (we were staying with friends and family)...should we change it each time move between Air BnBs? Appreciate we should really have a more stable living situation than this! It's been a totally crap few months.

@leypt1 That should be fine. You wouldn't be expected to change your address repeatedly while in temporary accomodation.

jkkneast

I have been incredibly dozy with one of my cards and messed up a payment on the back of a card holiday. This means I have 2 months in arrears during the credit card payment holiday. Showing as 2 on my credit file. 

I have paid the card off and have no other late or arrears payment history. I appreciate this will be frowned upon by many companies (including my existing lender Barclays) but with a 12-15% deposit, am I completely out the mortgage game?

Marcusian

I have a 60/40 shared ownership mortgage - my 60% meant a 94.5k mortgage over 23 years, I pay 423 a month.
My income has doubled since i initially bought the house due my business launching/growing hugely and while going on a few month journey of how best to set up my financial future, I decided to over pay a lump sum of 4k as well as soon to be 6 monthly payments (a mistake in hindsight).

Anyway - I want to lend more on the mortgage, i am saving/investing at a rate of knots (the intention to get a buy to let) and once my 6 months has passed, I want to try (in my simple terms) get my 4k back out I overpaid. 

Halifax, my lender says it's a minimum 10k on their website - I have no issue with this. 

I could totally be missing this, but my understanding is that I can apply to lend another 10k on my mortgage (1.8% fix for 5 years), with the 4k overpayment, this would essentially be say an additional 7k in real terms? (again this might be simplistic).

Can someone check that makes sense and how likely I would be to get the extra loaned to me?

K_S

jkkneast said:

I have been incredibly dozy with one of my cards and messed up a payment on the back of a card holiday. This means I have 2 months in arrears during the credit card payment holiday. Showing as 2 on my credit file. 

I have paid the card off and have no other late or arrears payment history. I appreciate this will be frowned upon by many companies (including my existing lender Barclays) but with a 12-15% deposit, am I completely out the mortgage game?

@jkkneast Completely out of the mortgage game due to this one issue mentioned in your post? No.

CLJ2986

I appreciate you can't answer for definite, but I've been asked for an explanation of how we plan to survive financially for the rest of my mat leave. Without going into too much detail, I have a good company mat pay scheme and plan to use my kit days. With my partners basic income and mine, plus what we have in our accounts now, for the next 5 months we will have approx 17.5k coming in, and approx 16k going out. (That is all our bills including sports activities and contact lenses etc, plus a budget for food, fuel and a miscellaneous amount for frivolous things) the mortgage will be slightly higher than our rent so 16.5k outgoing. What's the chances they will see this as affordable? Thanks in advance! 

CLJ2986

Forgot to add, that's my partners basic income, not including overtime which can be up to another 2k...

K_S

@clj2986 Which lender, when do you expect to complete approx and when do you expect to go back approx

CLJ2986

It's aldermore, I go back to work Full time in August and I've got a letter from my boss today to back that up. No idea on completion but there is no chain so I'd assume once the mortgage was approved it would be fairly fast? 

K_S

@CLJ2986 Well, with Aldermore the explanation is going to be looked at in the context of the rest of the scenario. So any opinion I express isn't particularly useful.

Very very generally speaking, the lower the LTV, the less it matters, if that makes sense.