Mortgage broker - ask me anything

K_S

Kimonos88 said:

Do you have any experience with green mortgages? My broker signed us up for a green mortgage as Barratts new builds are all either A or B rating. However ours is not complete yet so the EPC is not yet available. This is the only thing holding up the offer now. Is it simple to change the product to the non green rate if we can’t get this certificate? 

@kimonos88 The builder/EA should be able to provide a Predicted Energy Assessment certificate which shows the predicted EPC. This is a requirement for all buildings from design stage. Usually lenders will accept that.

How simple it is to change a product post-app but pre-offer will depend on the lender system but it should be fairly straightforward.

Kimonos88

K_S said:

Kimonos88 said:

Do you have any experience with green mortgages? My broker signed us up for a green mortgage as Barratts new builds are all either A or B rating. However ours is not complete yet so the EPC is not yet available. This is the only thing holding up the offer now. Is it simple to change the product to the non green rate if we can’t get this certificate? 

@kimonos88 The builder/EA should be able to provide a Predicted Energy Assessment certificate which shows the predicted EPC. This is a requirement for all buildings from design stage. Usually lenders will accept that.

How simple it is to change a product post-app but pre-offer will depend on the lender system but it should be fairly straightforward.

Thanks! Annoyingly I don’t think NatWest accept the PEA certificates, which is bizarre. Hopefully they accept it on this occasion. Cheers 

webjaved

The figure stated in the mortgage in principle, is the definitive figure the bank will be prepared to lend you or is it possible to ask for more money?

K_S

webjaved said:

The figure stated in the mortgage in principle, is the definitive figure the bank will be prepared to lend you or is it possible to ask for more money?

@webjaved Depends on the lender (and LTV), some will show the exact amount that you put in in your DIP application, some will show max borrowing available.

webjaved

K_S said:

webjaved said:

The figure stated in the mortgage in principle, is the definitive figure the bank will be prepared to lend you or is it possible to ask for more money?

@webjaved Depends on the lender (and LTV), some will show the exact amount that you put in in your DIP application, some will show max borrowing available.

@K_S

Thank you. Should I use a comparison website to check what other lenders can offer?

K_S

webjaved said:

K_S said:

webjaved said:

The figure stated in the mortgage in principle, is the definitive figure the bank will be prepared to lend you or is it possible to ask for more money?

@webjaved Depends on the lender (and LTV), some will show the exact amount that you put in in your DIP application, some will show max borrowing available.

@K_S

Thank you. Should I use a comparison website to check what other lenders can offer?

@webjavefd A comparison website (like the MSE one here 
https://www.moneysavingexpert.com/mortgages/best-buys/ 
will tell you the best rates available in the market but will not tell you whether you are eligible for them or how much they will lend to you.

Each lender will have different ways of calculating the maximum potential loan size (eg: see one lender affordability calculator here https://online.accordmortgages.com/public/mortgages/quick_enquiry.do

If you're looking to maximise borrowing, you could consider consulting with a broker, the MSE guide here has information on how to find one, including fee-free options.
https://www.moneysavingexpert.com/mortgages/best-mortgages-cashback/#step3

webjaved

Cheers @K_S I think the broker route is the one that I am going to go down. I have one possibly two brokers I can speak to. If I have any more Q's - I'll give you a shout.

debtout

Hi again, more questions to ask if I may. We've had a call back from our lender pepper money. They are just going through the final checks, but it's all likely to go through as they have taken direct debit details. Now the only concern is that they have advised me that the mortgage offer, is for 3 months. Unfortunately our new build home, will not be ready until at least September October. What is likely to happen then in the 3 months? Can the lender increase the offer for longer? I called the developer and they told me that most mortgage offers are for 6 months, so now very worried that the offer is only 3 months. What's your experience please with regards to mortgage offer extensions? 

K_S

debtout said:

Hi again, more questions to ask if I may. We've had a call back from our lender pepper money. They are just going through the final checks, but it's all likely to go through as they have taken direct debit details. Now the only concern is that they have advised me that the mortgage offer, is for 3 months. Unfortunately our new build home, will not be ready until at least September October. What is likely to happen then in the 3 months? Can the lender increase the offer for longer? I called the developer and they told me that most mortgage offers are for 6 months, so now very worried that the offer is only 3 months. What's your experience please with regards to mortgage offer extensions? 

@debtout It's 90 days + 30 days (extension) for Pepper's HTB mortgage offers. Beyond that usually you'll have to reapply.

But do check with your broker, perhaps my information above is out of date. 

stormpassing

Hi K_S, I’m currently applying for a mortgage with LBS and the valuation came in at £5k less than offer. The vendor is happy with the new price and I have sent my MB the updated memorandum of sale. I tried to ask what happens now but the answer wasn’t clear. I do know the underwriter hadn’t seen the valuation at that point. Is this common and am I likely to encounter any issues because of it? Thanks in advance