Mortgage broker - ask me anything

kingstreet

No. As long as there isn't a transfer-in from elsewhere within a few weeks there should be no issues with transfers between spouses.

csswiift

stevat said:

Hello all, quick question: can a one-off sizeable £25k bank transfer between spouses somehow affect mortgage application? Whether that's for a joint application or individual one? What if the transfer is split into daily chunks of, say, £5k to stick to the daily limit?

Just thinking of moving funds around to stay under the £85k protection limit.

thanks!

I would imagine the lender will question why the transfer has taken place however, you're reasoning makes absolute sense so shouldn't be an issue.

Good luck

kingstreet

stevat said:

Hello all, quick question: can a one-off sizeable £25k bank transfer between spouses somehow affect mortgage application? Whether that's for a joint application or individual one? What if the transfer is split into daily chunks of, say, £5k to stick to the daily limit?

Just thinking of moving funds around to stay under the £85k protection limit.

thanks!

Just going back to the bold item. If a spouse is contributing to the deposit on a sole purchase/mortgage you may have issues with some lenders particularly if the spouse will reside in the property.

Lil10

Hi, my mortgage is due for renewal and my partner who I have a joint mortgage with, has made a mess of his credit file. Mine is almost perfect. I don’t even know where to start now. We have been with the same bank for years will they do another affordability check if we stick with them? 

K_S

Lil10 said:

Hi, my mortgage is due for renewal and my partner who I have a joint mortgage with, has made a mess of his credit file. Mine is almost perfect. I don’t even know where to start now. We have been with the same bank for years will they do another affordability check if we stick with them? 

@lil10 Assuming that you're with a mainstream lender, you should be able to do a product-switch/product-transfer/rate-switch and select a new fix with no credit/income/affordability checks so the state of your partner's credit file should not be an impediment.

Lil10

Yes we are - thank you so much for the reply 😊

Eladiacar

I own  75% equity of Housing Association house.  I need to buy remaining 25% in order to be able to rent it out.  Problem is I am 73yrs old.  Would i get a loan  of say £20,000  to enable me to do this and where do I start!

femster82

New lender is asking for quotes for the extra funds needed for equity release. I had not got that far into my research so caught me by surprise. 

What is acceptable to provide them?
All I had was quotes from Tiling, Carpet and Kitchen companies.
Do I now need to get a builder to give me their quote also, if so do they need to be registered somewhere.

K_S

femster82 said:

New lender is asking for quotes for the extra funds needed for equity release. I had not got that far into my research so caught me by surprise. 

What is acceptable to provide them?
All I had was quotes from Tiling, Carpet and Kitchen companies.
Do I now need to get a builder to give me their quote also, if so do they need to be registered somewhere.

@femster82 Ideally, your broker (or you if direct) would have checked and told you what documentation will be needed prior to putting in the app so it doesn't come as a surprise.

What documentation (if any) is needed for releasing cash depends on the individual lender policy and the amount involved. Most of my clients prefer to use the released cash to get work done over a period of time so in most cases I go with lenders that don't need this.

You'll have to speak to the lender to understand what exactly they want but unless we're talking about large scale structural work I doubt it'll be overly onerous.

K_S

Eladiacar said:

I own  75% equity of Housing Association house.  I need to buy remaining 25% in order to be able to rent it out.  Problem is I am 73yrs old.  Would i get a loan  of say £20,000  to enable me to do this and where do I start!

@eladiacar Given that you're looking to rent it out, one option might be a BTL mortgage with a lender that will lend to an applicant at your age and have a minimum loan size that is small enough for your requirement. There are BTL lenders that will go up to 85-95 years age on term so you may have options.

The MSE guide here should be able to guide you on how to find a mortgage broker to see if they can get you what you need

https://www.moneysavingexpert.com/mortgages/best-mortgages-cashback/#step3

Alternatively, if your circumstances permit, you may be able to get a personal loan for the amount required.