Mortgage broker - ask me anything

girlie1412

Hi, I wonder can someone give me some advice. 

I jointly purchased house with my husband in NI March 2008 shortly before market crashed. We ended up in a massive negative equity. Due to change in circumstances and our need to move house we approached our original lender Halifax asking can we still be able to remortgage and move negative equity onto the new mortgage.. no help was given and on number of appointments no solution was provided. Sadly due to change in circumstances and my husband parent requiring downstairs bedroom we decided to give our keyes back to the lender and go renting a property which will meet our needs. This was in Oct 2017 however default was registered 31/5/2018. Property was sold very low leaving negative equity of 69k which we managed to pay off in Oct 2020. We both earn good wage and we have also managed to save and want to purchase our own property in the area we currently live in. Adverse records on both of our files  mortgage default settled Oct 20. We have 75000£ deposit looking 270k property. Our combined earnings are 80k per year. I am 40 and my other half is 58. 

Do we have any chance in getting a mortgage with adverse credit. My score is 819 on Experian and hubby’s 999. 

Thanks so much for your response 

terlou5881

Hi. My current fixed rate mortgage with Natwest is due to end in September (can switch from June). I am looking to remortgage with them direct. Are they likely to do a full credit check, seeing as I am an existing customer and have never missed a payment? My concerns are that I have had the mortgage with them since 2016, but had three defaults in 2017 following a job loss. My credit report is slowly improving and there haven't been any missed payments since Feb 2018, but I know I'm unlikely to get a remortgage with any other high street lender who would want to do a full credit check. Hence why I would like to stay with Natwest for another 5 year fixed rate by which time all the defaults will have fallen off my credit file. 

K_S

girlie1412 said:

This was in Oct 2017 however default was registered 31/5/2018. Property was sold very low leaving negative equity of 69k which we managed to pay off in Oct 2020. We both earn good wage and we have also managed to save and want to purchase our own property in the area we currently live in. Adverse records on both of our files  mortgage default settled Oct 20. We have 75000£ deposit looking 270k property. Our combined earnings are 80k per year. I am 40 and my other half is 58. 

Do we have any chance in getting a mortgage with adverse credit. My score is 819 on Experian and hubby’s 999. 

Thanks so much for your response 

@girlie1412 Quick thoughts on your scenario: Mortgage default less than 3 years old, voluntary posession, 75% LTV, looking to borrow around 200k, combined basic income of 80k

- the Mr's age might limit your term and affordability

- you should have adverse options at this LTV

- please ignore your Experian credit scores, they don't mean much in this scenario

Definitely one for a broker to get a realistic idea of your budget and options when it's time for you to start viewing.

K_S

terlou5881 said:

Hi. My current fixed rate mortgage with Natwest is due to end in September (can switch from June). I am looking to remortgage with them direct. Are they likely to do a full credit check, seeing as I am an existing customer and have never missed a payment? My concerns are that I have had the mortgage with them since 2016, but had three defaults in 2017 following a job loss. My credit report is slowly improving and there haven't been any missed payments since Feb 2018, but I know I'm unlikely to get a remortgage with any other high street lender who would want to do a full credit check. Hence why I would like to stay with Natwest for another 5 year fixed rate by which time all the defaults will have fallen off my credit file. 

@terlou5881 A product-switch (staying with Natwest) with no change in borrowing or term should not involve any credit checks, etc.

Carmen12

hello Everybody just a quick question for a mortgage offer extension do the lender needs bank statments again? because nobody ask me anything ... just i want to know if i  need to prepare all that stuff again  thanks 

K_S

Carmen12 said:

hello Everybody just a quick question for a mortgage offer extension do the lender needs bank statments again? because nobody ask me anything ... just i want to know if i  need to prepare all that stuff again  thanks 

@carmen12 Depends on the lender, the reason for the extension and how long it's been since the initial offer. There's no black and white answer to your question unfortunately, but your broker or lender will tell you if anything more is required.

031192vy353

Waiting on our mortgage offer from mainstream lender. Have been back and forward to underwriters a few times and so far they have accepted all mb answers. My other half had taken a small payday loan out in November 2020 and paid it off in full before we applied for our application. It was all declared on the application by mortgage broker and that there wouldn't be any outstanding loan payments after approval. Our hard searches were both done when we applied and since then we have gone to underwriters and nothing has been mentioned about it.
Could this affect our offer or would we of been questioned about it or declined at the start of application? 

jallen1984

Hi,
I'm looking for some advice. We are due to remortgage at the end of the year and want to put ourselves in the best position financially to get the best deal. We will have about 75-80% LTV by the time our current deal ends. In addition I have an outstanding training loan of approximately £20k. We also have car on finance. 
We are able to pay off the loan with savings, but wouldn't leave us with a huge amount left over (doing this we would then be putting the loan repayment money back into savings).
We were wondering which is really our best option that would put us in line for the best mortgage rate:
a) Pay off outstanding loan, which reduces savings and have 75-80% LTV
b) Put savings into mortgage, which would give us about 70-74% LTV, but then still have the loan and small savings 
c) Keep things as they are and leave the savings untouched
Any advice is greatly appreciated

merudy

Hi. Me and my partner are hoping to buy a house. We have a 10% deposit and are looking at houses at around £320k. Our income is £80k and we have one credit card with 3k and a loan for 9k.

We've got our credit files and my partner has a default from July 2018. Will this stop us from being able to get a mortgage?

Thanks

Dorb

Hi, I'm looking into taking out an interest only mortgage. The current repayment mortgage on my house is £9,500 and the term ends in 2025. I want to take out an interest only mortgage to pay off the current repayment mortgage (early - redemption fee is £500) and purchase a new property outright with cash. I would pay off the interest only mortgage when I complete the sale of my existing house, so the term of the interest only mortgage would be 2 years maximum. Is this possible? practical? Thank you.