Mortgage broker - ask me anything

917700

Hi

I came to UK in 2010 and my current visa is Tier 1 Entrepreneurs (expire date 04/2021). The employment restrictions is I can only work for my own business. So obviously I am self employed. 

I submitted my  indefinite leave to remain application last month. Usually it can take 4 weeks to 26 weeks to receive the decision.

Is there any lenders accept foreign nationals who doesn’t have Indefinite leave to remain?

Do I have to or is it better to wait until the Indefinite leave to remain is received? 

I also had a settled £236 default account record in 08/2015. 

melliejab

Hi
I was declined by Nationwide for a DIP because of undeclared commitments on my credit file. I can’t see what it could be and the Nationwide lady didn’t know either.  I was then immediately given a DIP online by Barclays but I’m terrified I will be rejected for a mortgage. My LTV is 24.8%. Any thoughts?

haras_n0sirrah

JR27721988 said:

Looking to buy but have around 12k debt in credit card and 4K left on a loan. I will be clearing these all fully within the next month, how soon should I wait before applying for a mortgage? 

Also what is the likelihood of being approved with a 10% deposit at the moment? Was hoping to use help to buy but the builder isn’t accepting at the moment due to the scheme changing 

With the debt you don't necessarily have to clear it prior to application (some lenders it needs to be off credit report or they will include it, others as long as you can confirm you will clear it and evidence you have the funds to do so they will ignore it) so that would determine which direction we would go as a broker.
10% deposit is almost impossible at the moment I will be honest. TSB turned up last week for all of 24 hours.
There is a nifty way around it that works with some clients but I cant put about it on here.

haras_n0sirrah

917700 said:

Hi

I came to UK in 2010 and my current visa is Tier 1 Entrepreneurs (expire date 04/2021). The employment restrictions is I can only work for my own business. So obviously I am self employed. 

I submitted my  indefinite leave to remain application last month. Usually it can take 4 weeks to 26 weeks to receive the decision.

Is there any lenders accept foreign nationals who doesn’t have Indefinite leave to remain?

Do I have to or is it better to wait until the Indefinite leave to remain is received? 

I also had a settled £236 default account record in 08/2015. 

Yes there are. It will be a 15% deposit minimum. With the default I think that would be ok but it would be subject to credit score.
In terms of the self employed they are looking at how your business has been affected by covid 19 (latest 3 months business bank statements and have you accepted any grants)

haras_n0sirrah

melliejab said:

Hi
I was declined by Nationwide for a DIP because of undeclared commitments on my credit file. I can’t see what it could be and the Nationwide lady didn’t know either.  I was then immediately given a DIP online by Barclays but I’m terrified I will be rejected for a mortgage. My LTV is 24.8%. Any thoughts?

I always get a credit report for clients and match what goes on the form with what is on the credit report exactly even if in reality the debt is lower. Sometimes people have cleared stuff or reduced debt but it is not reflected on the credit report as is a delay in it updating. If the lender has a wildly different figure (e.g on the credit report it says 5k but the client puts 2k as they have just cleared a chunk) it will throw this up. Some lenders will decline, others will offer a reduced loan amount as they are assuming that whatever is in their eyes undeclared will stay.

irtgreg

HSBC did a desktop valuation and valued the property I am buying by 1.5% under agreed price. I don’t have to increase my deposit as they are still lending the full amount requested (I’m going for 70% LTV). In your opinion is 1.5% within acceptable margin of error of desktop valuation, and would you advise renegotiating the agreed sale price? I am slightly worried about being in negative equity from the start. 

Penguin_

I am in a DMP with Stepchange & am up to date with payments, working hard to try & bring it down & get it paid off as quick as possible but it won't be anytime soon. I currently have 22% equity in the house, based on Natwest's latest valuation but am thinking longer term will it be possible for me to get a new mortgage if me & my partner (who isn't on the mortgage) wanted to buy a house together?

917700

haras_n0sirrah said:

917700 said:

Hi

I came to UK in 2010 and my current visa is Tier 1 Entrepreneurs (expire date 04/2021). The employment restrictions is I can only work for my own business. So obviously I am self employed. 

I submitted my  indefinite leave to remain application last month. Usually it can take 4 weeks to 26 weeks to receive the decision.

Is there any lenders accept foreign nationals who doesn’t have Indefinite leave to remain?

Do I have to or is it better to wait until the Indefinite leave to remain is received? 

I also had a settled £236 default account record in 08/2015. 

Yes there are. It will be a 15% deposit minimum. With the default I think that would be ok but it would be subject to credit score.
In terms of the self employed they are looking at how your business has been affected by covid 19 (latest 3 months business bank statements and have you accepted any grants)

Hi 

Thanks for the information. My credit score is 763/999 on Experian. This is a fair score.

Is this likely to be accepted by lenders?

pippin759

We’ve applied for a mortgage, after receiving a DIP from Halifax on 28th august and the valuation is being carried out this week, still worried we will be turned down since we were declined at application stage with Natwest and Santander. My partner has a squeaky clean credit report, whereas mine has 2 defaults from 2016 and a high credit utilisation. Is there still a chance Halifax could turn us away after the valuation stage?

haras_n0sirrah

917700 said:

haras_n0sirrah said:

917700 said:

Hi

I came to UK in 2010 and my current visa is Tier 1 Entrepreneurs (expire date 04/2021). The employment restrictions is I can only work for my own business. So obviously I am self employed. 

I submitted my  indefinite leave to remain application last month. Usually it can take 4 weeks to 26 weeks to receive the decision.

Is there any lenders accept foreign nationals who doesn’t have Indefinite leave to remain?

Do I have to or is it better to wait until the Indefinite leave to remain is received? 

I also had a settled £236 default account record in 08/2015. 

Yes there are. It will be a 15% deposit minimum. With the default I think that would be ok but it would be subject to credit score.
In terms of the self employed they are looking at how your business has been affected by covid 19 (latest 3 months business bank statements and have you accepted any grants)

Hi 

Thanks for the information. My credit score is 763/999 on Experian. This is a fair score.

Is this likely to be accepted by lenders?

The score isn't a factor - it is what is on the credit report which matters