Mortgage broker - ask me anything

K_S

@adsta Sorry if I gave you that impression but I definitely did NOT mean to imply that you would be better off clearing it!

2k is a relatively small amount and equates to about a £60 monthly outgoing.

It all depends on the specific numbers and I would recommend you speak to a broker before dipping into your deposit to pay it off.

riotlady

How difficult is it to gain a mortgage while still officially in the probation period of a new job? (Eg. 3 months in to 6 month probation period)

K_S

riotlady said:

How difficult is it to gain a mortgage while still officially in the probation period of a new job? (Eg. 3 months in to 6 month probation period)

@riotlady Depends on the rest of the circumstances but on its own a new job on probation shouldn't be a major impediment.

Adsta

@K_S Thanks for info. I'll pass along to him and to speak to a broker then before he makes any changes. 

I was also just quite curious about how affordability is worked out in this sort of situation towards amount offered. If some or no Credit Card debt would drastically change the amount a lender would give. Like you said 2k isn't a huge amount

K_S

Adsta said:

@K_S Thanks for info. I'll pass along to him and to speak to a broker then before he makes any changes. 

I was also just quite curious about how affordability is worked out in this sort of situation towards amount offered. If some or no Credit Card debt would drastically change the amount a lender would give. Like you said 2k isn't a huge amount

@adsta Just Google "<lender name> for intermediaries affordablity calculator", plug in the numbers and have a play around. You'll get a general idea.

ang2999

Hi, i recently took out a loan to combine my husband and i's credit card debt. I closed the cards down so now our only outgoing apart from our car and household bills is the loan. We took the loan with Lendable as they offered us 6%apr where as our bank was charging 10% but i have now just read on another forum that they are classed as a pay day loan and seen someone comment that they had been turned down for a mortgage because lendable are classed as a high interest loan and it would need to have been paid off for 12 months before applying. Is this the case as we were hoping to apply for a mortgage next year.

jenn229911

Hi, I am hoping to get a mortgage around September this year just me and my son. I am looking at houses around £140/150k and will have 10% deposit. I have a good income of £35k and no outgoings apart from mobile phone and car insurance however I have 3 defaults on my credit file. Two with satsuma loans both for less than £500 from August 2017 - these only show on Experian and one with Eon for £1k from Feb 2019 - this only shows on equifax, do you think I would get a mortgage anywhere? My credit with equifax is fair but I cannot get out of the poor section with Experian. I would also like the take advantage of the 95% mortgages but I am guessing this would not be possible due to the defaults. Any advice would be great please.  

jenn229911

**Sorry as per above comment, I meant to put August 2018 not 2017 for the two defaults ** 

K_S

ang2999 said:

Hi, i recently took out a loan to combine my husband and i's credit card debt. I closed the cards down so now our only outgoing apart from our car and household bills is the loan. We took the loan with Lendable as they offered us 6%apr where as our bank was charging 10% but i have now just read on another forum that they are classed as a pay day loan and seen someone comment that they had been turned down for a mortgage because lendable are classed as a high interest loan and it would need to have been paid off for 12 months before applying. Is this the case as we were hoping to apply for a mortgage next year.

@ang2999 Unfortunately, some lenders will consider Lendable as "high-interest" finance and hence not consider the case. I would not go so far as saying that it will stop you from getting a mortgage, but it will likely make it a bit more complicated. If the term of the Lendable loan is over a year long, that's a positive.
Definitely one for a broker when you get to the stage of viewing. Good luck!

ang2999

K_S said:

ang2999 said:

Hi, i recently took out a loan to combine my husband and i's credit card debt. I closed the cards down so now our only outgoing apart from our car and household bills is the loan. We took the loan with Lendable as they offered us 6%apr where as our bank was charging 10% but i have now just read on another forum that they are classed as a pay day loan and seen someone comment that they had been turned down for a mortgage because lendable are classed as a high interest loan and it would need to have been paid off for 12 months before applying. Is this the case as we were hoping to apply for a mortgage next year.

@ang2999 Unfortunately, some lenders will consider Lendable as "high-interest" finance and hence not consider the case. I would not go so far as saying that it will stop you from getting a mortgage, but it will likely make it a bit more complicated. If it's over a year long, that's a positive. Definitely one for a broker when you get to the stage of viewing. Good luck!

Thanks for replying. Its crazy considering my own bank Barclays were going to charge me higher interest. I paid a lump sum to the loan today and will pay it off on pay day next month so hopefully next year it wont stand in our way 🙂