Mortgage broker - ask me anything

K_S

stokegal said:

Hi
Looking for a bit of advice about buying home.
I’m an ex BR (March 2011) so no longer on credit file and looking to purchase home from parents with a concessionairy discount. (I’ve lived here for 9 years)
The house is worth approx 160k and parents have agreed to sell it at 125k offering approx 22% discount.
I’m a sngle applicant with 1 child dependant earning £53k a year (20/21 was £57k) made up of £30k basic and rest in commission
I have unsecured debts of just over £24k
Motor finance £15.5k (£180 / month)
Credit Card £5.5k (£400 / month)
Overdraft £1.5k (£100 / month)
Retail finance £1.5k (£100 / month)
I ran through a mortgage application with the Halifax which passed the affordability but failed on the credit check (my credit file still shows higher balances as I’ve paid a chunk of them off over the past couple of months) there’s no missed payments or defaults though. 
s it worth applying through a broker again in a couple of months or trying to hammer down my debts more and applying again once they have mainly been paid off (all but motor finance)
Thanks

@stokegal Based on the limited information in your post, I can't see anything in particular which would stop you from getting a mainstream mortgage now to be honest.

A few lenders will drop out due to the ex BR and a few due to the concessionary element, but there should still be options.

I'm not sure how the Halifax affordability was keyed in, but based on the numbers given, they don't appear to add up for Halifax. As and when you are ready to purchase, I would recommend getting in touch with a broker. Good luck!

stokegal

K_S said:

stokegal said:

Hi
Looking for a bit of advice about buying home.
I’m an ex BR (March 2011) so no longer on credit file and looking to purchase home from parents with a concessionairy discount. (I’ve lived here for 9 years)
The house is worth approx 160k and parents have agreed to sell it at 125k offering approx 22% discount.
I’m a sngle applicant with 1 child dependant earning £53k a year (20/21 was £57k) made up of £30k basic and rest in commission
I have unsecured debts of just over £24k
Motor finance £15.5k (£180 / month)
Credit Card £5.5k (£400 / month)
Overdraft £1.5k (£100 / month)
Retail finance £1.5k (£100 / month)
I ran through a mortgage application with the Halifax which passed the affordability but failed on the credit check (my credit file still shows higher balances as I’ve paid a chunk of them off over the past couple of months) there’s no missed payments or defaults though. 
s it worth applying through a broker again in a couple of months or trying to hammer down my debts more and applying again once they have mainly been paid off (all but motor finance)
Thanks

@stokegal Based on the limited information in your post, I can't see anything in particular which would stop you from getting a mainstream mortgage now to be honest.

A few lenders will drop out due to the ex BR and a few due to the concessionary element, but there should still be options.

I'm not sure how the Halifax affordability was keyed in, but based on the numbers given, they don't appear to add up for Halifax. As and when you are ready to purchase, I would recommend getting in touch with a broker. Good luck!

Thank you. Halifax did say my affordability was fine it was just something on my credit file. I checked and my credit file is still showing the higher balances of cards and accounts that I’ve paid off. The credit club website from MSE shows that all its green apart from credit applications, account longevity and ironically tenancy status  - I’ve opened a couple of new bank accounts recently to put my money into pots and taken out a mattress on finance (which I’ve now paid off in full.

That’s why I thought I would leave it a couple of months and reapply again when my file had updated.

I was just concerned about going through a broker and having to produce months of statements to be analysed (the number of time just eat appears on there is almost laughable 🤦‍♀️)

K_S

stokegal said:

K_S said:

stokegal said:

Hi
Looking for a bit of advice about buying home.
I’m an ex BR (March 2011) so no longer on credit file and looking to purchase home from parents with a concessionairy discount. (I’ve lived here for 9 years)
The house is worth approx 160k and parents have agreed to sell it at 125k offering approx 22% discount.
I’m a sngle applicant with 1 child dependant earning £53k a year (20/21 was £57k) made up of £30k basic and rest in commission
I have unsecured debts of just over £24k
Motor finance £15.5k (£180 / month)
Credit Card £5.5k (£400 / month)
Overdraft £1.5k (£100 / month)
Retail finance £1.5k (£100 / month)
I ran through a mortgage application with the Halifax which passed the affordability but failed on the credit check (my credit file still shows higher balances as I’ve paid a chunk of them off over the past couple of months) there’s no missed payments or defaults though. 
s it worth applying through a broker again in a couple of months or trying to hammer down my debts more and applying again once they have mainly been paid off (all but motor finance)
Thanks

@stokegal Based on the limited information in your post, I can't see anything in particular which would stop you from getting a mainstream mortgage now to be honest.

A few lenders will drop out due to the ex BR and a few due to the concessionary element, but there should still be options.

I'm not sure how the Halifax affordability was keyed in, but based on the numbers given, they don't appear to add up for Halifax. As and when you are ready to purchase, I would recommend getting in touch with a broker. Good luck!

Thank you. Halifax did say my affordability was fine it was just something on my credit file. I checked and my credit file is still showing the higher balances of cards and accounts that I’ve paid off. The credit club website from MSE shows that all its green apart from credit applications, account longevity and ironically tenancy status  - I’ve opened a couple of new bank accounts recently to put my money into pots and taken out a mattress on finance (which I’ve now paid off in full.

That’s why I thought I would leave it a couple of months and reapply again when my file had updated.

I was just concerned about going through a broker and having to produce months of statements to be analysed (the number of time just eat appears on there is almost laughable 🤦‍♀️)

@stokegal Trust me, brokers have seen all there is to see on bank statements A lot of just-eat transactions will have no impact on your borrowing. Typically, I ask to see 3 months bank statements from customers. It's less to analyse their spending habits and more to make sure all commitments are accounted for and so I can get a decent idea of what the underwriters may query, which lenders would be most appropriate, etc.

Of course, you need to be comfortable with the timing so if you would rather wait for a few months that's what you should do.

With all due respect to all the credit sites, every bank will look at your credit history in different ways, whether it's green or not on Clearscore/Credit Karma, etc matters not one jot.

Sauira

Hey I’m looking for a broker to help apply for a mortgage, 

I’m looking at using the help to buy scheme so will have 5% deposit. I have had approval from them. 

I have a CCJ that was registered April 2019 it’s for just under £1400 so not a large amount. 

I have a default on the account which was registered 2019. 

My current debt is

credit card £525 
Default £117 
an CCJ which is £1400 (it’s paid just hasn’t updated yet) 
Mobile phone £433 (I’m with o2 so it’s the phone loan debt). 

Would you be able to help an advise if I would be able to get a mortgage? I’m not sure where to start other than to google ‘bad credit mortgage brokers’

K_S

Sauira said:

Hey I’m looking for a broker to help apply for a mortgage, 
I’m looking at using the help to buy scheme so will have 5% deposit. I have had approval from them. 

I have a CCJ that was registered April 2019 it’s for just under £1400 so not a large amount. 

I have a default on the account which was registered 2019. 

My current debt is
credit card £525 
Default £117 
an CCJ which is £1400 (it’s paid just hasn’t updated yet) 
Mobile phone £433 (I’m with o2 so it’s the phone loan debt).

@sauira As long as you aren't expecting mainstream rates and the income stacks up, this should be doable.

Sauira

K_S said:

Sauira said:

Hey I’m looking for a broker to help apply for a mortgage, 
I’m looking at using the help to buy scheme so will have 5% deposit. I have had approval from them. 

I have a CCJ that was registered April 2019 it’s for just under £1400 so not a large amount. 

I have a default on the account which was registered 2019. 

My current debt is
credit card £525 
Default £117 
an CCJ which is £1400 (it’s paid just hasn’t updated yet) 
Mobile phone £433 (I’m with o2 so it’s the phone loan debt).

@sauira As long as you aren't expecting mainstream rates and the income stacks up, this should be doable.

No I understand rates would be high due to the CCJ and default 😞. Are you able to share your company or recommend another?

Rachylou1981

Hi. We already have a broker working on this but the stress is killing me & can't stop googling for similar cases! Can anyone help?

Had a RICS Homebuyer Report which has come back with no issues including valuation being okay

However the lender valuation has returned at 38K under

We are shocked & are currently waiting to hear back from mortgage broker who was speaking to lender with the Homebuyer Report. Houses on estate range from 120K to 300K & so we don't feel the lender valuation is accurate (but we are not experts obvs)

How can they be so different? Anyone had experience of this & if so, what happened? Read lots of down valuation from lender but not about having 2 surveyors with 2 different values (assuming they follow the same RICS code?)

 

lonibra

Sauira said:

K_S said:

Sauira said:

Hey I’m looking for a broker to help apply for a mortgage, 
I’m looking at using the help to buy scheme so will have 5% deposit. I have had approval from them. 

I have a CCJ that was registered April 2019 it’s for just under £1400 so not a large amount. 

I have a default on the account which was registered 2019. 

My current debt is
credit card £525 
Default £117 
an CCJ which is £1400 (it’s paid just hasn’t updated yet) 
Mobile phone £433 (I’m with o2 so it’s the phone loan debt).

@sauira As long as you aren't expecting mainstream rates and the income stacks up, this should be doable.

No I understand rates would be high due to the CCJ and default 😞. Are you able to share your company or recommend another?

The brokers on the forum can't respond. You will have to PM them if you want to use them. I took a while to figure that out as well

K_S

Rachylou1981 said:

Hi. We already have a broker working on this but the stress is killing me & can't stop googling for similar cases! Can anyone help?

Had a RICS Homebuyer Report which has come back with no issues including valuation being okay

However the lender valuation has returned at 38K under

We are shocked & are currently waiting to hear back from mortgage broker who was speaking to lender with the Homebuyer Report. Houses on estate range from 120K to 300K & so we don't feel the lender valuation is accurate (but we are not experts obvs)

How can they be so different? Anyone had experience of this & if so, what happened? Read lots of down valuation from lender but not about having 2 surveyors with 2 different values (assuming they follow the same RICS code?)

@rachylou1981 Valuations are an inexact science unfortunately. There's always some element of judgement and subjectivity.

What was the price agreed and who's the lender? Does the RICS valuation report mention any comparables?

Rachylou1981

K_S said:

Rachylou1981 said:

Hi. We already have a broker working on this but the stress is killing me & can't stop googling for similar cases! Can anyone help?

Had a RICS Homebuyer Report which has come back with no issues including valuation being okay

However the lender valuation has returned at 38K under

We are shocked & are currently waiting to hear back from mortgage broker who was speaking to lender with the Homebuyer Report. Houses on estate range from 120K to 300K & so we don't feel the lender valuation is accurate (but we are not experts obvs)

How can they be so different? Anyone had experience of this & if so, what happened? Read lots of down valuation from lender but not about having 2 surveyors with 2 different values (assuming they follow the same RICS code?)

@rachylou1981 Valuations are an inexact science unfortunately. There's always some element of judgement and subjectivity.

What was the price agreed and who's the lender? Does the RICS valuation report mention any comparables?

OIRO 200K. Offer 198K. Valuation 160K
Lender Santander
Comparables? Do you mean similar properties nearby? If so, no recent data but the house next door sold for 152K in 2019 (divorce sale) but this one has had a garage conversion to make an extra bedroom & a brand new fitted kitchen but obvs I don't know how much extra value that should add. We are starting to think the value might be right & we just think it's worth it because other houses nearby offering the same things are more money (for sale not sold)