Mortgage broker - ask me anything

Reddington85

Random one - 
I have changed jobs (before the application) was made. Same role but approx £12k more a year (ironically in financial sector). I am in 6 months probation (which lender was fine with and has seen my contract).
I've sent my first payslip to the lender but its less than expected as I've been taxed at Bsic Rate as I was also paid the remnants of my remaining salary/holiday pay from my previous employer (which turned out to be more substantial than I thought).
Have explained all this to the lender and sahred my last wage slip from my ex employer and my P45 but they are now insisting we wait until the end of the month so they can see my actual salary.

It seems crazy to me as they can see my salary (before tax on the current payslip) they've got my P45 which shows this is my only job and my contract showing the annual salary!

K_S

Reddington85 said:

Random one - 
I have changed jobs (before the application) was made. Same role but approx £12k more a year (ironically in financial sector). I am in 6 months probation (which lender was fine with and has seen my contract).
I've sent my first payslip to the lender but its less than expected as I've been taxed at Bsic Rate as I was also paid the remnants of my remaining salary/holiday pay from my previous employer (which turned out to be more substantial than I thought).
Have explained all this to the lender and sahred my last wage slip from my ex employer and my P45 but they are now insisting we wait until the end of the month so they can see my actual salary.
It seems crazy to me as they can see my salary (before tax on the current payslip) they've got my P45 which shows this is my only job and my contract showing the annual salary!

@Reddington85 Did they ask for the payslip or an explanation? It seems like a quirk on the specific lender's end, crossed wires or too much unnecessary information provided.

I'm not clear on what your income from the previous employer has to do with your first payslip in the new job (the part in bold above)?

Reddington85

K_S said:

Reddington85 said:

Random one - 
I have changed jobs (before the application) was made. Same role but approx £12k more a year (ironically in financial sector). I am in 6 months probation (which lender was fine with and has seen my contract).
I've sent my first payslip to the lender but its less than expected as I've been taxed at Bsic Rate as I was also paid the remnants of my remaining salary/holiday pay from my previous employer (which turned out to be more substantial than I thought).
Have explained all this to the lender and sahred my last wage slip from my ex employer and my P45 but they are now insisting we wait until the end of the month so they can see my actual salary.
It seems crazy to me as they can see my salary (before tax on the current payslip) they've got my P45 which shows this is my only job and my contract showing the annual salary!

@Reddington85 Did they ask for the payslip or an explanation? It seems like a quirk on the specific lender's end, crossed wires or too much unnecessary information provided.

I'm not clear on what your income from the previous employer has to do with your first payslip in the new job (the part in bold above)?

Ah apologies - they've asked for the next months payslip.
So I was paid on the 25th by my new employer but also paid for residual from my ex employer on the 25th and they hadn't processed a P45 at this point, so the new job was treat like a second job and I was taxed at basic rate so instead of salary being comfortably higher, my take home pay was about 30% less than it should have been. So I shared this with the lender just to show why I was basic rate taxed (then shared my P45 to show I'd now be taxed on the normal tax free allowance rate going forward).

K_S

Reddington85 said:

K_S said:

Reddington85 said:

Random one - 
I have changed jobs (before the application) was made. Same role but approx £12k more a year (ironically in financial sector). I am in 6 months probation (which lender was fine with and has seen my contract).
I've sent my first payslip to the lender but its less than expected as I've been taxed at Bsic Rate as I was also paid the remnants of my remaining salary/holiday pay from my previous employer (which turned out to be more substantial than I thought).
Have explained all this to the lender and sahred my last wage slip from my ex employer and my P45 but they are now insisting we wait until the end of the month so they can see my actual salary.
It seems crazy to me as they can see my salary (before tax on the current payslip) they've got my P45 which shows this is my only job and my contract showing the annual salary!

@Reddington85 Did they ask for the payslip or an explanation? It seems like a quirk on the specific lender's end, crossed wires or too much unnecessary information provided.

I'm not clear on what your income from the previous employer has to do with your first payslip in the new job (the part in bold above)?

Ah apologies - they've asked for the next months payslip.
So I was paid on the 25th by my new employer but also paid for residual from my ex employer on the 25th and they hadn't processed a P45 at this point, so the new job was treat like a second job and I was taxed at basic rate so instead of salary being comfortably higher, my take home pay was about 30% less than it should have been. So I shared this with the lender just to show why I was basic rate taxed (then shared my P45 to show I'd now be taxed on the normal tax free allowance rate going forward).

@reddington85 Based on the limited info in your posts, it seems like the case wasn't packaged well in the first instance and a bit too much unnecessary info and documentation provided to the lender. I guess you just need to provide whatever they've asked for now. Good luck!

dc285

K_S said:

dc285 said:

Hi,
Hoping someone can give me some advice/hope!
Looking to move home, credit history isn't great- checkmyfile score of 602, 3 defaults more than 4 years old all under £500,  last missed payment was last July & only 1 before that over the last few years. Partners score on checkmyfile is 729 & credit history is pretty sound.
We will have around £60k deposit once our house is sold & any existing debt is paid off.
Mortgage advisor has tried Halifax & an other lender but both failed on credit score. They've advised me to keep an eye on my score and try again in couple of months.
Getting disheartened now so was just wondering if the brokers on here think it's possible for me to get a new mortgage? Would be happy to pay a bit extra per month due to credit score.
Thanks in advance.

@dc285 Unless you are at 95% LTV (unlikely I would assume with a £60k deposit), only looking at chart-topping rates, I don't see enough in there to suggest that your case is a no-go. But of course that is based on the very limited information in front of me.

Great, thanks.
Yeah we are looking for a house in the £210-230k mark.  Mortgage advisor doesn't seem too keen on making anymore applications, should I try someone else?
Thanks again.

K_S

dc285 said:

K_S said:

dc285 said:

Hi,
Hoping someone can give me some advice/hope!
Looking to move home, credit history isn't great- checkmyfile score of 602, 3 defaults more than 4 years old all under £500,  last missed payment was last July & only 1 before that over the last few years. Partners score on checkmyfile is 729 & credit history is pretty sound.
We will have around £60k deposit once our house is sold & any existing debt is paid off.
Mortgage advisor has tried Halifax & an other lender but both failed on credit score. They've advised me to keep an eye on my score and try again in couple of months.
Getting disheartened now so was just wondering if the brokers on here think it's possible for me to get a new mortgage? Would be happy to pay a bit extra per month due to credit score.
Thanks in advance.

@dc285 Unless you are at 95% LTV (unlikely I would assume with a £60k deposit), only looking at chart-topping rates, I don't see enough in there to suggest that your case is a no-go. But of course that is based on the very limited information in front of me.

Great, thanks.
Yeah we are looking for a house in the £210-230k mark.  Mortgage advisor doesn't seem too keen on making anymore applications, should I try someone else?
Thanks again.

@dc285 At 75% LTV, based on the limited info in your post, I would definitely recommend getting a second opinion. It just may be that you went with one of the volume brokers who are great at straightforward applications but don't have the time to spend on placing cases that need a bit more.

dc285

K_S said:

dc285 said:

K_S said:

dc285 said:

Hi,
Hoping someone can give me some advice/hope!
Looking to move home, credit history isn't great- checkmyfile score of 602, 3 defaults more than 4 years old all under £500,  last missed payment was last July & only 1 before that over the last few years. Partners score on checkmyfile is 729 & credit history is pretty sound.
We will have around £60k deposit once our house is sold & any existing debt is paid off.
Mortgage advisor has tried Halifax & an other lender but both failed on credit score. They've advised me to keep an eye on my score and try again in couple of months.
Getting disheartened now so was just wondering if the brokers on here think it's possible for me to get a new mortgage? Would be happy to pay a bit extra per month due to credit score.
Thanks in advance.

@dc285 Unless you are at 95% LTV (unlikely I would assume with a £60k deposit), only looking at chart-topping rates, I don't see enough in there to suggest that your case is a no-go. But of course that is based on the very limited information in front of me.

Great, thanks.
Yeah we are looking for a house in the £210-230k mark.  Mortgage advisor doesn't seem too keen on making anymore applications, should I try someone else?
Thanks again.

@dc285 At 75% LTV, based on the limited info in your post, I would definitely recommend getting a second opinion. It just may be that you went with one of the volume brokers who are great at straightforward applications but don't have the time to spend on placing cases that need a bit more.

Thanks K_S, a glint of hope has been restored!!

roguetrader1

Hi, have you ever received a favourable outcome with a lender where a home owner is currently within a fixed rate/term who is looking to remortgage potentially to a lower rate with the same provider without having to incur Early Repayment Charges? I understand there is potentially not much to be gained for the mortgage lender other than the home owner being tied in for additional years over what the current term offers. 

K_S

roguetrader1 said:

Hi, have you ever received a favourable outcome with a lender where a home owner is currently within a fixed rate/term who is looking to remortgage potentially to a lower rate with the same provider without having to incur Early Repayment Charges? I understand there is potentially not much to be gained for the mortgage lender other than the home owner being tied in for additional years over what the current term offers. 

@roguetrader1 Not in my experience. The only times I've seen ERC waived was to resolve complaints arising from significant deficiencies on the lender's end or compassionate reasons like death of one borrower. 

I don't know the t&cs of your specific product so there's no harm in giving the lender a call to check.

movnik894

 Hello - thank you for this thread. Really helpful and useful.

I have two questions (hope that is ok) 

1 - As a Mortgage Advisor; what is your opinion on 95% LTV mortgages?

2 – My OH and I are FTB. He is self employed. Combined earnings are around 95k. Deposit saved is around 30k (ever growing whilst still WFH). We are looking for a house around 400k. Credit score: me – good, him – working on it (no big debts) Could you give your opinion on how likely we are to get a 95% LTV mortgage (based on this very limited info)?

 Haven't approached a broker yet. Still building our pot but doing research in meantime.