Mortgage broker - ask me anything

haras_n0sirrah

sjeap said:

My mother recently gifted myself and my sister one of her buy to let properties. As my sister wasn’t interested in renting it out but I was, so it was put in my name and I need to raise a mortgage to pay her half and we would like another £10k out for repairs. There is a tenant in the property who has been in since 2005 and has always paid. The rent is £440 a month, the value is 80-90k and we would like a mortgage of £50k - from what I’ve seen the rent is substantially over the 125% requirement. Is this doable? Every mortgage I see is either for purchase or remortgage and we are not buying it nor is there a mortgage currently on it so I’m not sure how it works. Thanks so much 

If the property is in your name already this would be classed as a btl remortgage. A mortgage of 50k should be doable. Some lenders have a minimum income threshold, some don't. How long have you owned the property - some lenders have a minimum time period of ownership of 6 months so that is something else to be aware of. 

sjeap

haras_n0sirrah said:

sjeap said:

My mother recently gifted myself and my sister one of her buy to let properties. As my sister wasn’t interested in renting it out but I was, so it was put in my name and I need to raise a mortgage to pay her half and we would like another £10k out for repairs. There is a tenant in the property who has been in since 2005 and has always paid. The rent is £440 a month, the value is 80-90k and we would like a mortgage of £50k - from what I’ve seen the rent is substantially over the 125% requirement. Is this doable? Every mortgage I see is either for purchase or remortgage and we are not buying it nor is there a mortgage currently on it so I’m not sure how it works. Thanks so much 

If the property is in your name already this would be classed as a btl remortgage. A mortgage of 50k should be doable. Some lenders have a minimum income threshold, some don't. How long have you owned the property - some lenders have a minimum time period of ownership of 6 months so that is something else to be aware of. 

Thank you, that’s really helpful. I’ll have to double check land registry dates but I think we’re probably still within the 6 month period (my sister isn’t in a rush so waiting a bit isn’t a problem). My husband and I would exceed the minimum threshold I would think as he is a higher rate tax payer. Is btl a type of mortgage you could help with if we wanted you to be our broker or if not are you allowed to point us in a direction to find someone who could help us sort this? Again, thanks for your time 

haras_n0sirrah

sjeap said:

haras_n0sirrah said:

sjeap said:

My mother recently gifted myself and my sister one of her buy to let properties. As my sister wasn’t interested in renting it out but I was, so it was put in my name and I need to raise a mortgage to pay her half and we would like another £10k out for repairs. There is a tenant in the property who has been in since 2005 and has always paid. The rent is £440 a month, the value is 80-90k and we would like a mortgage of £50k - from what I’ve seen the rent is substantially over the 125% requirement. Is this doable? Every mortgage I see is either for purchase or remortgage and we are not buying it nor is there a mortgage currently on it so I’m not sure how it works. Thanks so much 

If the property is in your name already this would be classed as a btl remortgage. A mortgage of 50k should be doable. Some lenders have a minimum income threshold, some don't. How long have you owned the property - some lenders have a minimum time period of ownership of 6 months so that is something else to be aware of. 

Thank you, that’s really helpful. I’ll have to double check land registry dates but I think we’re probably still within the 6 month period (my sister isn’t in a rush so waiting a bit isn’t a problem). My husband and I would exceed the minimum threshold I would think as he is a higher rate tax payer. Is btl a type of mortgage you could help with if we wanted you to be our broker or if not are you allowed to point us in a direction to find someone who could help us sort this? Again, thanks for your time 

The brokers who post here are allowed to help but we cannot approach posters. If you would like help from one of us you would need to pm us and then yes we can help

Derang

Hi experts, 
I'm looking to buy a property at the moment and have an DIP for 85% of the home valuation of £220k which would leave me circa £35k to pay as deposit.

If I negotiate a lower sale price than the home valuation, say £210,000 could I reduce my deposit accordingly or would the 85% mortgage be recalculated on the actual sale price rather than value?

Apologies if this is a stupid question but I'm pretty clueless with mortgages. 
Thanks

pippin759

Hi, hoping you can help, I’ve had my mortgage offer letter through the post and one of the conditions says “you will pay all or some of your credit card balances”. What exactly are they asking, seems vague as no clear amount needs to be paid off. Does it mean the balances can’t be higher on completion?

haras_n0sirrah

pippin759 said:

Hi, hoping you can help, I’ve had my mortgage offer letter through the post and one of the conditions says “you will pay all or some of your credit card balances”. What exactly are they asking, seems vague as no clear amount needs to be paid off. Does it mean the balances can’t be higher on completion?

it means that as part of the application it has been declared you are paying off credit cards. Do you know which cards have been declared as being cleared?

haras_n0sirrah

Derang said:

Hi experts, 
I'm looking to buy a property at the moment and have an DIP for 85% of the home valuation of £220k which would leave me circa £35k to pay as deposit.

If I negotiate a lower sale price than the home valuation, say £210,000 could I reduce my deposit accordingly or would the 85% mortgage be recalculated on the actual sale price rather than value?

Apologies if this is a stupid question but I'm pretty clueless with mortgages. 
Thanks

The deposit will be 85% of the lower of the purchase price or valuation

jo_london_mum

We have a very small mortgage (42k) on a property worth £700k that we bought 3 years ago.

We would like to add to the mortgage to make the total owed to £100k

The reasons for this are: £18k car loan, £25k credit card debt, £15k wedding.

Current lender is Nationwide, who we are happy to stay with, they are offering 1.54%

Question is, how likely are they to give us this further loan, bearing in mind our favourable LTV, but the fact its mostly for loans/debt?

Not sure the best way to play it? we dont want to be turned down and then this hinders us going for another deal? We also have the option of a financial advisor we have been recommended, who we have been assured could "easily sort that out", but we like the idea of just staying with Nationwide and doing it by ourselves.

ctbfc

Apologies for a fairly mundane question. I am Currently waiting on a mortgage with TSB. Hard credit search has been done, valuation was done yesterday and I have received a text saying it is with the lender. How long am I likely to have to wait for TSB now? And given they have already done a hard search what can go wrong now?

karenb51

pippin759 said:

Hi, hoping you can help, I’ve had my mortgage offer letter through the post and one of the conditions says “you will pay all or some of your credit card balances”. What exactly are they asking, seems vague as no clear amount needs to be paid off. Does it mean the balances can’t be higher on completion?

Hi - is your mortgage with Halifax? I ask because we received our offer letter via our broker yesterday and ours has the same equally vague condition. I don’t have the full offer through the post yet to know what it refers to, but I don’t recall committing to pay anything off when we applied so I’m wondering if it’s a standard statement they always put or something? It says to refer to the mortgage application summary for details but I don’t have that. We only have one very small cc balance at 0% interest so wouldn’t have thought it would be an issue to keep it, although we can clear it if needed. It’s just an extra unforeseen cost that I’d rather not have to find the money for right now!