Mortgage broker - ask me anything

Muzziovis

Hi K_S,

We're looking to borrow up to £730,000, but I think that would require a 5x multiple. 4.5x limits it to around £660,000. We may well not stretch to our limit, but we'd be keen to know what a realistic limit would be, if that makes sense?

I'm set up as a sole trader, so those figures are the profit lines in my SA302.

We're not tied to Halifax really, although they're our current lender and we have all our accounts with them. They just seemed to be coming up as the most generous mainstream lender for our circumstances before the cap was introduced.

Thank you!

K_S

Muzziovis said:

Hi K_S,

We're looking to borrow up to £730,000, but I think that would require a 5x multiple. 4.5x limits it to around £660,000. We may well not stretch to our limit, but we'd be keen to know what a realistic limit would be, if that makes sense?

I'm set up as a sole trader, so those figures are the profit lines in my SA302.

We're not tied to Halifax really, although they're our current lender and we have all our accounts with them. They just seemed to be coming up as the most generous mainstream lender for our circumstances before the cap was introduced.

Thank you!

@muzziovis Based on the limited info in your posts, and assuming the 80k is all basic pay, 730k borrowing should be a definite possibility at mainstream rates.

Assuming no severe term limitations, extraordinary commitments, or other similar complications in the background.

As you have discovered, Halifax aren't particularly generous any more.

Muzziovis

Thank you, K_S, that's really reassuring!

Barry627

Hi 
I have recently submitted an application to Barclays through a broker. Hard search happened during DIP. Valuation is booked in for this week. I was concerned I would be declined as I have a default from 4 years ago. Would I have been declined by now if this was the case?

Scott_the_Bold

I am recently divorced. I was on my second home which i have now let my ex wife takeover the mortgage. I am now looking for my own home and mortgage. Question. am i a Home mover as i technically an not loving there or selling, or a first time buyer... What do i label myself as please when seeking a mortgage.

K_S

Scott_the_Bold said:

I am recently divorced. I was on my second home which i have now let my ex wife takeover the mortgage. I am now looking for my own home and mortgage. Question. am i a Home mover as i technically an not loving there or selling, or a first time buyer... What do i label myself as please when seeking a mortgage.

@scott_the_bold What you are defined as for lenders will depend on the specific lender policy (some will class you as FTB if you haven't been on a mortgage for x years, some will only do so if you've never owned a home, etc). But generally speaking, you can pick home-mover.

Jen271626

Hi,
I posted on here last week after getting declined by Aldermore and told to reapply in 6 months due to my self employed husbands statements (Dec to February)not reflecting last years income

This is the background. Husband has 5 year old default for 100 for bt. He had 3 late payments to very last year I had two as we couldn't log on our accounts and no one was answering the phones. He has took the last three seiss grants but won't be taking this one and this months and next months statements are set to be really good as he is so busy. Its also a concessionary purchase for 75%ltv (110k, 82500kpurchase). We earn 40k between us 42500 if child benefits accepted.

Broker said last week he'd need to match us to somewhere else but would take him time. All main lenders hed tried hadnt accepted the aip. Havent heard anything else from him since last Thursday Morning. I'm thinking we are likely too complicated and more hassle than we are worth.

I decided to try an aip with my bank rbs today and it was approved. Wouldnt apply till beginning of May so we have Aprils statement.

Does anyone know if its even worth our while with RBS going by the above? Will they say no because of the seiss? Adverse on our files? 
Thanks so much for any advice. 

Edited to add, my dads friend suggested we'd maybe have better luck with interest only for two years then remortgage, is this correct? Thanks

K_S

@jen271626 Brokers aren't going to be able to answer the question about RBS as they are a direct only lender. Their sister bank NatWest will decline applicants who've taken SEISS (can't remember if it's 2 and 3 or just 3).

With regard to other lenders, I would recommend asking your broker for a clear yes/no on whether he can help. Tbf a few days to place a case that's been declined by Aldermore does not sound unreasonable.

If you broker says no (and that's the only broker who's looked at your case), I would recommend getting a second opinion from another broker before giving up.

Jen271626

Thanks K_S, I'm just off the phone to RBS. They won't take his income into consideration at all because he took the seiss. He can go on mortgage application but with 0 income. Il wait till Friday then message the broker just to see where we stand. Thanks again for your advice. 
If the broker can't place us, is this something you could help with if I reach out? Or can you recommend anyone else if not? Thanks. 

ukri

Jen271626 said:

Thanks K_S, I'm just off the phone to RBS. They won't take his income into consideration at all because he took the seiss. He can go on mortgage application but with 0 income. Il wait till Friday then message the broker just to see where we stand. Thanks again for your advice. 
If the broker can't place us, is this something you could help with if I reach out? Or can you recommend anyone else if not? Thanks. 

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