Mortgage broker - ask me anything

K_S

SR24 said:

K_S said:

SR24 said:

Hi. Freehold flat (two storey only and a block of 4 purpose built).
 Are mortgages available?

 Small LTV mortgage required less than 15% LTV.

 Wondering what current situ is re lending in this scenario please.

@sr24 Depends on what you mean by 'freehold'. Are you talking about a situation where the freehold is shared between the 4 flats and there is lease for each property? If yes then it should be fairly straightforward.

If it's a 'true freehold' (I've seen them in some parts of the NE and SW) with no lease, then it gets more complicated.

Hi, it’s a definite freehold flat, block of 4 have a covenant agreement re maintenance shared between 4 flats but no lease. 

Complicated to obtain a mortgage… does this mean less choice and higher mortgage rates?

Assume it may be a property that can only attract certain scenarios of buyer so not going to be easy to resale due to freehold?

@sr24 If there's an enforceable covenant in place specifying maintenance/repair arrangements, that's a definite positive.

Depends on the specifics (valuer being satisfied that there is a ready market in the area for such flats, and the solicitor confirming that the title is 'good and marketable' under the lender's requirements) could be less-choice or no-choice. Less choice doesn't necessarily have to mean higher mortgage rates, as long as the small pool includes at least one mainstream lender.

But between the 4 of you, surely at some point in the past someone has already gone down the route of exploring what the mortgage options are?

Lyd00

K_S said:

BuckfastLover said:

How often does new build get downvalued? The valuation on my new build house is booked for Monday and I'm a bit worried that it might get downvalued...

@BuckfastLover In my experience, rarely.

One that me and my ex were buying was downvalued by £15k. In March last year. It was 3yr old.

Splash21

Thanks for offering this option to talk to you, much appreciated! Happy to send a coffee your way! 

Q:
We have recently sold our house and have found a new property to move too. The vendors of that house do not yet have a forward purchase. 
Wife is 3 months pregnant and the mortgage broker doesn't know, nor has she asked, other than declaring our 1 dependent child. Wife miscarried last year so we're being very restrained in sharing such information generally, just in case. 

I currently have no plans to tell her.
I'm conscious that we could move quickly or we could move in 9 months time. 

What would you normally advise in this situation? 

Marvel123

we are 15 months Into our nationwide 5 year fix mortgage
we have 156k balance and the house has been valued at 280k
we want to move to another property, and looking at options to port our mortgage
our income has gone down slightly and the nationwide affordability calculator says they can lend us 15k less than our original mortgage any
would this be possible to do still , as we have a lot of equity in our property ( trying to work out what value we could go to on a new property is possible )

K_S

Splash21 said:

Thanks for offering this option to talk to you, much appreciated! Happy to send a coffee your way! 

Q:
We have recently sold our house and have found a new property to move too. The vendors of that house do not yet have a forward purchase. 
Wife is 3 months pregnant and the mortgage broker doesn't know, nor has she asked, other than declaring our 1 dependent child. Wife miscarried last year so we're being very restrained in sharing such information generally, just in case. 

I currently have no plans to tell her.
I'm conscious that we could move quickly or we could move in 9 months time. 

What would you normally advise in this situation? 

@splash21 Well, if a client told me that they were pregnant, that would need to be declared in the 'known future changes to income' that'll be there in all mortgage application forms and factored in for affordability. If they didn't tell me about it, then it would be just like any other application.

BuckfastLover

Lyd00 said:

K_S said:

BuckfastLover said:

How often does new build get downvalued? The valuation on my new build house is booked for Monday and I'm a bit worried that it might get downvalued...

@BuckfastLover In my experience, rarely.

One that me and my ex were buying was downvalued by £15k. In March last year. It was 3yr old.

Sorry to hear that! The valuation came back just fine. I'm buying off the plot - a 'new' new build, so a bit different to your situation..

K_S

Marvel123 said:

we are 15 months Into our nationwide 5 year fix mortgage
we have 156k balance and the house has been valued at 280k
we want to move to another property, and looking at options to port our mortgage
our income has gone down slightly and the nationwide affordability calculator says they can lend us 15k less than our original mortgage any
would this be possible to do still , as we have a lot of equity in our property ( trying to work out what value we could go to on a new property is possible )

@marvel123 If it's a true like-for-like port (no change in loan size, no change in term, similar LTV), with Nationwide it used to be possible to get it through manually even if the client fell short on affordability. I don't know if that is still the case or what exactly the mechanics are of it.

Marvel123

K_S said:

Marvel123 said:

we are 15 months Into our nationwide 5 year fix mortgage
we have 156k balance and the house has been valued at 280k
we want to move to another property, and looking at options to port our mortgage
our income has gone down slightly and the nationwide affordability calculator says they can lend us 15k less than our original mortgage any
would this be possible to do still , as we have a lot of equity in our property ( trying to work out what value we could go to on a new property is possible )

@marvel123 If it's a true like-for-like port (no change in loan size, no change in term, similar LTV), with Nationwide it used to be possible to get it through manually even if the client fell short on affordability. I don't know if that is still the case or what exactly the mechanics are of it.

thank you that's good to know
our original LTD was 85% and with a new property it would be 60 % LTD, everything else would be the same 

GreenCat80

Is applying for the Tesco prepaid debit card going to have any negative implications on my mortgage application in a months time? My credit history isn’t great, but most it has all expired other than a ccj expiring in April. There basically hasn’t been any activity on there for years until I took out a broadband contract with Vodafone this month, if I had a new card too will it look bad? Sorry for asking this, I’m just so anxious about the whole thing 

K_S

GreenCat80 said:

Is applying for the Tesco prepaid debit card going to have any negative implications on my mortgage application in a months time? My credit history isn’t great, but most it has all expired other than a ccj expiring in April. There basically hasn’t been any activity on there for years until I took out a broadband contract with Vodafone this month, if I had a new card too will it look bad? Sorry for asking this, I’m just so anxious about the whole thing 

@greencat80 This is what MSE says. If that is indeed correct, I would not expect any positive/negative impact from it.

• You won't be credit checked. While Tesco Bank will do a soft credit search to confirm your identity, as it's effectively a prepaid card that doesn't allow borrowing, this isn't to check your ability to repay. Plus, the check won't appear to other lenders, so won't affect your creditworthiness, even if you're rejected.