Mortgage broker - ask me anything

sillymonkey03

Hi K_S, 

thanks for putting my mind at ease yesterday. 

Called NatWest and they have advised online was refused as my partner retirement agent is before the mortgage would finish. They have said we need to delay the retirement age by a year or shorten the mortgage by a year to comply online. 

We have booked with there mortgage advise for next Thursday to submit our application to play it safe. 

K_S

simone82 said:

K_S said:

simone82 said:

Evening all, hope someone can help

My partner has just started a new role where he does shifts, gets paid weekly and each day of the week is paid at a different rate depending on the day start time of shift (eg a mon morning would be a different rate to a sunday afternoon or evening)

How do I reflect this when trying to work out our total income as I cant predict his annual salary as he gets paid differently each week?

Also if I have a lifetime Isa aswell as a help to buy isa will I be charged for taking the money out of the H2B isa when it comes to buying, as we will use the LISA as part of the mortgage process and just take out the H2B and use towards as a seperate amount?

Thank you

@simone82 What kind of contract does he have - fixed hours or zero hours? And on his payslip does he get a basic hourly rate plus a shift variable rate or simply different hourly rates for different shifts?

 @K_S Thank you for your reply.  He has a fixed hours contract and simply different hourly rates for different shifts.

@simone82 In that case it likely depends on the salary given in his contract. It's hard to say how lenders would see it without having sight of the contract or what exactly is shown on the payslip. The newness of the job may also count against him with some lenders.

field1990

Hello! My partner and I have sold our house (moving out in a month or two) and are buying a new build which should complete between Nov and Jan (if not delayed) so will be temporarily moving in with family 60 miles away.

Although not ideal I am likely to move jobs part way through the process likely after exchange and therefore would only be in the new job 3-6 months by completion date. Are there any lenders who would consider someone who is moving jobs between exchange/completion? The role would be for the same money and same sector/job name but means no travel so would be saving £400+ a month in travel costs.

We have a 40% deposit on the house if that helps and my partner has been in his job 10 years.

K_S

field1990 said:

Hello! My partner and I have sold our house (moving out in a month or two) and are buying a new build which should complete between Nov and Jan (if not delayed) so will be temporarily moving in with family 60 miles away.

Although not ideal I am likely to move jobs part way through the process likely after exchange and therefore would only be in the new job 3-6 months by completion date. Are there any lenders who would consider someone who is moving jobs between exchange/completion? The role would be for the same money and same sector/job name but means no travel so would be saving £400+ a month in travel costs.

We have a 40% deposit on the house if that helps and my partner has been in his job 10 years.

@field1990 Based on the limited info in your post, yes there are lenders who should be ok with changing jobs as described (of course no one is likely to give you 100% assurance as lender criteria can change).

If you're using a broker, let them know so that they can place you appropriately. If you're going direct, then do run it past the lender prior to a full application.

field1990

K_S said:

field1990 said:

Hello! My partner and I have sold our house (moving out in a month or two) and are buying a new build which should complete between Nov and Jan (if not delayed) so will be temporarily moving in with family 60 miles away.

Although not ideal I am likely to move jobs part way through the process likely after exchange and therefore would only be in the new job 3-6 months by completion date. Are there any lenders who would consider someone who is moving jobs between exchange/completion? The role would be for the same money and same sector/job name but means no travel so would be saving £400+ a month in travel costs.

We have a 40% deposit on the house if that helps and my partner has been in his job 10 years.

@field1990 Based on the limited info in your post, yes there are lenders who should be ok with changing jobs as described (of course no one is likely to give you 100% assurance as lender criteria can change).

If you're using a broker, let them know so that they can place you appropriately. If you're going direct, then do run it past the lender prior to a full application.

Great thank you! I better get finding a broker

Hansgruber

I'm in the process of applying with my partner.  

I have been given an offer in principal for a property but am worried about affordability.  

I regularly going into my overdraft authorised (500£) and unauthorised, sometimes up to 750£ a month. 

My wages, 2k roughly clear the overdraft every month but I have done this for years. 

How likely am I to get declined?  

secretlysuffocating

Hi there

I'm wondering if any brokers could advise me on the following.
My husband and I would like to move house this year and will be applying for a mortgage at some point in the next few months, but I have (like many others here) a bit of a chequered credit history. We did try last summer but were declined so had to pull out of the sale of our property and the purchase of another. I don't want to go through that again as I am still living with the guilt!

I have 3 defaults registered between July 2018 and January 2019.
Default 1 - £400 which was registered in November 2018 paid in full in March 2019
Default 2 - £8000 which was registered in July 2018 paid in full in January 2019
Default 3 - £5000 which was registered in January 2019 paid in full in January 2020

I now have no loans or credit cards at all. 

I regularly used an overdraft on my current account up until March of this year. This was paid back in full every month, and actually I removed it three weeks ago as I didn't really need it and was only using it in the hope that it might improve my credit. My score has improved significantly over the last 12 months, from very poor 300 to 866 which is a hairs breadth away from good - but I know that lenders do not see this.

We would like to buy a house up to £385,000. Our current house has been valued at around £215,00 and based on that we would have £100,000 to put down as a deposit.
What do you think our chances are of actually getting a mortgage? Any advice would be greatly appreciated 

K_S

Hansgruber said:

I'm in the process of applying with my partner.  

I have been given an offer in principal for a property but am worried about affordability.  

I regularly going into my overdraft authorised (500£) and unauthorised, sometimes up to 750£ a month. 

My wages, 2k roughly clear the overdraft every month but I have done this for years. 

How likely am I to get declined?  

@hansbruger If the Decision In Principle application has been entered cortrectly, that checks for affordability.

With regard to the consistent use of unauthorised overdraft, that can be an issue with some lenders but how much of an impact it may have on your application depends on the rest of the scenario.

K_S

secretlysuffocating said:

Hi there

I'm wondering if any brokers could advise me on the following.
My husband and I would like to move house this year and will be applying for a mortgage at some point in the next few months, but I have (like many others here) a bit of a chequered credit history. We did try last summer but were declined so had to pull out of the sale of our property and the purchase of another. I don't want to go through that again as I am still living with the guilt!

I have 3 defaults registered between July 2018 and January 2019.
Default 1 - £400 which was registered in November 2018 paid in full in March 2019
Default 2 - £8000 which was registered in July 2018 paid in full in January 2019
Default 3 - £5000 which was registered in January 2019 paid in full in January 2020

I now have no loans or credit cards at all. 

I regularly used an overdraft on my current account up until March of this year. This was paid back in full every month, and actually I removed it three weeks ago as I didn't really need it and was only using it in the hope that it might improve my credit. My score has improved significantly over the last 12 months, from very poor 300 to 866 which is a hairs breadth away from good - but I know that lenders do not see this.

We would like to buy a house up to £385,000. Our current house has been valued at around £215,00 and based on that we would have £100,000 to put down as a deposit.
What do you think our chances are of actually getting a mortgage? Any advice would be greatly appreciated 

@secretlysuffocating At 75% LTV, you should have options even though your defaults are less than 3 years since they were registered. The amounts for the most recent 2 defaults will be looked at in detail and may put off a few lenders. Once you are ready to start viewing, I would definitely recommend using an experienced broker to give you a realistic idea of your options (after looking at the entire picture, not just the 3 defaults) so you don't go through the same as last year.

Hansgruber

K_S said:

Hansgruber said:

I'm in the process of applying with my partner.  

I have been given an offer in principal for a property but am worried about affordability.  

I regularly going into my overdraft authorised (500£) and unauthorised, sometimes up to 750£ a month. 

My wages, 2k roughly clear the overdraft every month but I have done this for years. 

How likely am I to get declined?  

@hansbruger If the Decision In Principle application has been entered cortrectly, that checks for affordability.

With regard to the consistent use of unauthorised overdraft, that can be an issue with some lenders but how much of an impact it may have on your application depends on the rest of the scenario.

Thanks for the reply. 

In relation to my other finances I have one defaulted payment in January as I moved and didn't get the utility bill, this was paid the following month.

My credit score shows single defaulted payment above since 2015 (as far back as records went) 

No other missed payments, or any financial penalties.  My credit score on Equifax is 977 so hopefully that counts for something?