Mortgage broker - ask me anything

haras_n0sirrah

MalMonroe said:

Hello I'm not sure if this question has been asked before because I've not read all 59 pages, sorry about that.

I'm currently renting a two bed flat with my daughter who is self-employed (and is one of the lucky ones, as has still been able to work during coronavirus). I'm retired and just turned 70.  

For years I've been wanting to buy my own property as I was a property owner in the past and prefer it(!) and wondered if it was worth my daughter and I joining forces to try to get a small mortgage. I've saved up a substantial deposit but it isn't enough to buy a decent property. Do you think we would have any joy if we were to seek a mortgage of something in the region of £40,000 between us? 

And are there any brokers who deal specifically with older folk - or would I be totally ineligible because of my age?

Many thanks, in advance. 

While there are lenders who would consider older applicants it will reduce the term the mortgage can be over which may make the payment unaffordable. If you are already retired and using pension income only then your income can be used but you may be looking at a term of around 10 years

haras_n0sirrah

Suseka97 said:

Firstly, thanks for setting up this thread, I've found it an invaluable read (all 59 pages so far...)

My question is that I have a DIP from my current lender (Nationwide) for my onward purchase.  The DIP was approved after being submitted to an underwriter and I think that's because I had a few loans I'd only recently cleared and so they were still showing on my credit report.   My LTV is/will be 26%.  

I'm now about to contact them to make the full application and on checking my credit file with Transunion/Credit Karma.  I can see that it still shows a Default from 2014, the account was settled in 2016. Before, when Credit Karma was run by Noddle it wasn't there, so it seems to have reappeared.   The account is closed and the status isn't D but says 'currently open' but you can see those D markers against the months from Oct 2014 to July 2016.  There's nothing on Experian and no defaults recorded on Equifax although it shows missed payments in 2014.    

The original default was with Halifax and back in 2016 I complained that they should have defaulted me in 2013, my complaint was upheld and I even got £50 compensation at the time and later on a refund because they say that on investigation they feel that they added interest and charges incorrectly.  I check all the CRAs at that time and could see that Halifax had removed the default marker and as I've said, some 6 years later in 2019 it disappeared.  So I was quite shocked to see it reappear when Noddle became Credit Karma.

Now I'm not sure what to do and a bit worried that this one old default will affect my application.   My partner's credit file (it's a joint application) is fine.  Any advice or thoughts on what I should do, if there's anything I can do that is.

Edit: just to add that I looking to port our existing mortgage (in case that makes any difference).

Was it there prior to aip - if it was and they have seen it you should be fine. You have a large deposit so I wouldn't expect it to be too much of an issue

haras_n0sirrah

oliveee90 said:

Hello!
Do NatWest generally ask for proof of deposit for FTB 85% LTV. If so, I have only saved around half and will have saved the other half by completion (approx Jan) - would they be ok with this?

Thanks!

How much are you short by? If a couple of thousand then I would expect it to be ok. If you are talking 10k it may be more of an issue

Suseka97

haras_n0sirrah said:

Suseka97 said:

Firstly, thanks for setting up this thread, I've found it an invaluable read (all 59 pages so far...)

My question is that I have a DIP from my current lender (Nationwide) for my onward purchase.  The DIP was approved after being submitted to an underwriter and I think that's because I had a few loans I'd only recently cleared and so they were still showing on my credit report.   My LTV is/will be 26%.  

I'm now about to contact them to make the full application and on checking my credit file with Transunion/Credit Karma.  I can see that it still shows a Default from 2014, the account was settled in 2016. Before, when Credit Karma was run by Noddle it wasn't there, so it seems to have reappeared.   The account is closed and the status isn't D but says 'currently open' but you can see those D markers against the months from Oct 2014 to July 2016.  There's nothing on Experian and no defaults recorded on Equifax although it shows missed payments in 2014.    

The original default was with Halifax and back in 2016 I complained that they should have defaulted me in 2013, my complaint was upheld and I even got £50 compensation at the time and later on a refund because they say that on investigation they feel that they added interest and charges incorrectly.  I check all the CRAs at that time and could see that Halifax had removed the default marker and as I've said, some 6 years later in 2019 it disappeared.  So I was quite shocked to see it reappear when Noddle became Credit Karma.

Now I'm not sure what to do and a bit worried that this one old default will affect my application.   My partner's credit file (it's a joint application) is fine.  Any advice or thoughts on what I should do, if there's anything I can do that is.

Edit: just to add that I looking to port our existing mortgage (in case that makes any difference).

Was it there prior to aip - if it was and they have seen it you should be fine. You have a large deposit so I wouldn't expect it to be too much of an issue

Thank you for helping... I'm not quite sure what you mean by 'was it prior to aip' though.  We got a decision in principle, after an underwriter's review, but we've only had a soft search carried out.  I'm happy with the fact that the large deposit, which is predominantly our current house equity, will swing things in a positive direction regardless of that old default.  

I am curious as to what they see when doing a hard search vs soft search and if lenders see stuff we don't when looking at our own credit files.  

But can I just add how invaluable your advice is and if I ever need a mortgage adviser in the future... your name is top of the list!

oliveee90

haras_n0sirrah said:

oliveee90 said:

Hello!
Do NatWest generally ask for proof of deposit for FTB 85% LTV. If so, I have only saved around half and will have saved the other half by completion (approx Jan) - would they be ok with this?

Thanks!

How much are you short by? If a couple of thousand then I would expect it to be ok. If you are talking 10k it may be more of an issue

Will be about £4K short. Do you know if they always ask for deposit proof?

haras_n0sirrah

Suseka97 said:

haras_n0sirrah said:

Suseka97 said:

Firstly, thanks for setting up this thread, I've found it an invaluable read (all 59 pages so far...)

My question is that I have a DIP from my current lender (Nationwide) for my onward purchase.  The DIP was approved after being submitted to an underwriter and I think that's because I had a few loans I'd only recently cleared and so they were still showing on my credit report.   My LTV is/will be 26%.  

I'm now about to contact them to make the full application and on checking my credit file with Transunion/Credit Karma.  I can see that it still shows a Default from 2014, the account was settled in 2016. Before, when Credit Karma was run by Noddle it wasn't there, so it seems to have reappeared.   The account is closed and the status isn't D but says 'currently open' but you can see those D markers against the months from Oct 2014 to July 2016.  There's nothing on Experian and no defaults recorded on Equifax although it shows missed payments in 2014.    

The original default was with Halifax and back in 2016 I complained that they should have defaulted me in 2013, my complaint was upheld and I even got £50 compensation at the time and later on a refund because they say that on investigation they feel that they added interest and charges incorrectly.  I check all the CRAs at that time and could see that Halifax had removed the default marker and as I've said, some 6 years later in 2019 it disappeared.  So I was quite shocked to see it reappear when Noddle became Credit Karma.

Now I'm not sure what to do and a bit worried that this one old default will affect my application.   My partner's credit file (it's a joint application) is fine.  Any advice or thoughts on what I should do, if there's anything I can do that is.

Edit: just to add that I looking to port our existing mortgage (in case that makes any difference).

Was it there prior to aip - if it was and they have seen it you should be fine. You have a large deposit so I wouldn't expect it to be too much of an issue

Thank you for helping... I'm not quite sure what you mean by 'was it prior to aip' though.  We got a decision in principle, after an underwriter's review, but we've only had a soft search carried out.  I'm happy with the fact that the large deposit, which is predominantly our current house equity, will swing things in a positive direction regardless of that old default.  

I am curious as to what they see when doing a hard search vs soft search and if lenders see stuff we don't when looking at our own credit files.  

But can I just add how invaluable your advice is and if I ever need a mortgage adviser in the future... your name is top of the list!

If it was referred to the underwriter on agreement in principle with your loan to value I would bet that it is because they saw the default - they only usually refer due to credit, self employed, 90% product at the moment. If it has already been passed at agreement in principle stage I would expect you are ok
And thank you for the bottom sentence. Very kind. A number of people have messaged me to assist on their mortgage applications which, while not the original reason I did the thread, is certainly welcome.

haras_n0sirrah

oliveee90 said:

haras_n0sirrah said:

oliveee90 said:

Hello!
Do NatWest generally ask for proof of deposit for FTB 85% LTV. If so, I have only saved around half and will have saved the other half by completion (approx Jan) - would they be ok with this?

Thanks!

How much are you short by? If a couple of thousand then I would expect it to be ok. If you are talking 10k it may be more of an issue

Will be about £4K short. Do you know if they always ask for deposit proof?

It isn't in their standard document list however there is a possibility in which case you will just need to explain

Suseka97

haras_n0sirrah said:
............A number of people have messaged me to assist on their mortgage applications which, while not the original reason I did the thread, is certainly welcome.

Yes, that's clearly so.. but can I add that this thread is priceless and if you and the other MA's helping out get a little business....well then you certainly deserve it  

HansGruber89

This is exactly the thread I was looking for!

I've made an offer on a house for £95k which has been accepted, and I currently own a property outright worth about £125k, possibly a little more after recent renovations. I want to 'downsize' to this new property, and was planning to take out a mortgage and then sell my house to repay it at a later date which is what I've told the seller; this was because it is a popular property and I'm worried about the owner not wishing to wait while I sell my property first. I was wondering if there is another way to do this, such as remortgage my current property, bridging loan etc which would be quicker, or whether I should just ask the seller if they are happy to wait while I sell my house? It is in a relatively popular area and the last one to sell in the street was on the market a month.

Any help or advice would be appreciated!

Natztastic2

Suseka97 said:

haras_n0sirrah said:
............A number of people have messaged me to assist on their mortgage applications which, while not the original reason I did the thread, is certainly welcome.

Yes, that's clearly so.. but can I add that this thread is priceless and if you and the other MA's helping out get a little business....well then you certainly deserve it  

I agree, so very helpful, even in cases where people have their own brokers but not getting the answers they want so have to ask here.

I hope you do benefit from this as you seem very dedicated, knowledgeable and reliable with your advice for others.