Mortgage broker - ask me anything

K_S

FutureGirl said:

When is the best time to speak with a mortgage adviser? When we’re ready to apply for a mortgage? Is there any point discussing things with an adviser before we’re ready to make an application? IE before we have the full deposit amount we need saved? 

@futuregirl Imho, when you want a realistic idea of what you can borrow so you know what your approx budget is before starting to view properties.

K_S

Sophie8916 said:

I have a question please!!
Firstly - please no judgements

I took out some money on my mortgage a couple of years ago to consolidate debt, I ran it up again so took a second charge out. Guess what? Done it again during Covid. I’ve started debt counselling so won’t happen again.

My annual salary is £34,000, my current provider accepts £185,000 as a instant valuation.

I want to consolidate as much as possible (33k 2nd charge and about £15k of the rest, leaving me with £3k ish to do myself)

I have car on finance at £250 a month.

my broker has been lovely as had a lot of other brokers saying my case isn’t worth taking on as I have a low salary.

my broker has put an app in with Halifax for an advance and I’m waiting to hear back. She said she rang them before and they were happy and said “subject to credit score”

when I did my own calculator on the site it said I couldn’t borrow that much... can there be differences? 

Also, my bank statements will show my stupid spending but once this is sorted I’ll be able to start again - are bank statements heavily scrutinised?

any general thoughts appreciated I’m very anxious about the situation so no judging please x

@sophie8916 What's the current outstanding mortgage - the Halifax first charge.

Sophie8916

K_S said:

Sophie8916 said:

I have a question please!!
Firstly - please no judgements

I took out some money on my mortgage a couple of years ago to consolidate debt, I ran it up again so took a second charge out. Guess what? Done it again during Covid. I’ve started debt counselling so won’t happen again.

My annual salary is £34,000, my current provider accepts £185,000 as a instant valuation.

I want to consolidate as much as possible (33k 2nd charge and about £15k of the rest, leaving me with £3k ish to do myself)

I have car on finance at £250 a month.

my broker has been lovely as had a lot of other brokers saying my case isn’t worth taking on as I have a low salary.

my broker has put an app in with Halifax for an advance and I’m waiting to hear back. She said she rang them before and they were happy and said “subject to credit score”

when I did my own calculator on the site it said I couldn’t borrow that much... can there be differences? 

Also, my bank statements will show my stupid spending but once this is sorted I’ll be able to start again - are bank statements heavily scrutinised?

any general thoughts appreciated I’m very anxious about the situation so no judging please x

@sophie8916 What's the current outstanding mortgage - the Halifax first charge.

£99,000 for Halifax first charge

K_S

Sophie8916 said:

K_S said:

Sophie8916 said:

I have a question please!!
Firstly - please no judgements

I took out some money on my mortgage a couple of years ago to consolidate debt, I ran it up again so took a second charge out. Guess what? Done it again during Covid. I’ve started debt counselling so won’t happen again.

My annual salary is £34,000, my current provider accepts £185,000 as a instant valuation.

I want to consolidate as much as possible (33k 2nd charge and about £15k of the rest, leaving me with £3k ish to do myself)

I have car on finance at £250 a month.

my broker has been lovely as had a lot of other brokers saying my case isn’t worth taking on as I have a low salary.

my broker has put an app in with Halifax for an advance and I’m waiting to hear back. She said she rang them before and they were happy and said “subject to credit score”

when I did my own calculator on the site it said I couldn’t borrow that much... can there be differences? 

Also, my bank statements will show my stupid spending but once this is sorted I’ll be able to start again - are bank statements heavily scrutinised?

any general thoughts appreciated I’m very anxious about the situation so no judging please x

@sophie8916 What's the current outstanding mortgage - the Halifax first charge.

£99,000 for Halifax first charge

@sophie8916 Based on the limited info in front of me, it looks doable in principle. However, debt con, especially where the amounts are significant and with an applicant with high debt levels on their credit report, is always a 50-50 case.

The lender wants a reasonable assurance that you will use the released cash for the intended purpose. Hopefully they'll look upon the app favourably, good luck!

Capri84

K_S said:

FutureGirl said:

When is the best time to speak with a mortgage adviser? When we’re ready to apply for a mortgage? Is there any point discussing things with an adviser before we’re ready to make an application? IE before we have the full deposit amount we need saved? 

@futuregirl Imho, when you want a realistic idea of what you can borrow so you know what your approx budget is before starting to view properties.

Would that be even if you haven’t got the entire deposit saved yet? If you’ve a few more months to go with saving but can project what you believe you’ll have?

if so, how does that work with ‘proof of deposit’? How can you prove where it came from if you haven’t saved it all yet?

also - Do the bank care about gifted deposits? If you’ve got 20k but half of it was saved and the other half given by a parent (for example). 

blueorange117

Hi, apologies if this has already been asked.

We just applied for our joint mortgage and declared that we have £0 debt on loans or credit cards, as we had just that morning cleared the last few thousand pounds on both a credit card and personal loan.

However, both are still showing on my credit file - and I assume would be for the next few weeks whilst it updates? Worried now that this will be flagged when mortgage provider does a hard search and it looks like we're lying on our application! 

Any advice? Should I phone the mortgage provider to explain?

Thanks in advanced. 

boxer234

Hello this has probably been covered but how do you find a good broker?  Is there anything I should be looking for ? 

annie12

I have a question regarding my son if anyone can help.
He is looking to buy his first house.
He is a self employed dental hygiene/therapist. His profits are: 17/18 £22577 (first year self employed) 18/19 £38,678  19/20 £34,612  20/21 should be approx £32,000.

He has never been in debt but also doesn't have a credit card.
He has saved 20k
He has £12k in a help to buy ISA.
Bank of mum & dad can give £50-£70k.

He has been living at home for a year rent free but was in rented accommodation prior to this and paying all his own bills.
Would he realistically have a good chance of getting a mortgage or is there something he can do to give him a better chance?
Thanks.

K_S

annie12 said:

I have a question regarding my son if anyone can help.
He is looking to buy his first house.
He is a self employed dental hygiene/therapist. His profits are: 17/18 £22577 (first year self employed) 18/19 £38,678  19/20 £34,612  20/21 should be approx £32,000.

He has never been in debt but also doesn't have a credit card.
He has saved 20k
He has £12k in a help to buy ISA.
Bank of mum & dad can give £50-£70k.

He has been living at home for a year rent free but was in rented accommodation prior to this and paying all his own bills.
Would he realistically have a good chance of getting a mortgage or is there something he can do to give him a better chance?
Thanks.

@annie12 Based on the limited info in your post, I don't see anything evident that would stop him from potentially getting a mortgage of around 140-150k or so. 

K_S

blueorange117 said:

Hi, apologies if this has already been asked.

We just applied for our joint mortgage and declared that we have £0 debt on loans or credit cards, as we had just that morning cleared the last few thousand pounds on both a credit card and personal loan.

However, both are still showing on my credit file - and I assume would be for the next few weeks whilst it updates? Worried now that this will be flagged when mortgage provider does a hard search and it looks like we're lying on our application! 

Any advice? Should I phone the mortgage provider to explain?

Thanks in advanced. 

@blueorange117 I can't advise you on what you need to do as I know nothing about the case and the significance of these numbers depends on the rest of the scenario.

Generally speaking, when I'm keying in a DIP, informally most lenders will recommend that I put in the debt numbers as reflected in the latest version of the credit file that they use and the actual numbers in the 'at/before completion' boxes. If there's space to put in a note, I do that as well.