New government mortgage guarantee scheme

MWT

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

chasingfreedom

Thrugelmir said:

chasingfreedom said:

Thrugelmir said:

chasingfreedom said:

Thrugelmir said:

chasingfreedom said:

K_S said:

@chasingfreedom It's hard to say without knowing the details of the case and future criteria for NatWest 95% products. But generally speaking, if NatWest will only offer you a mortgage at 85% LTV, it's unlikely that you would qualify for a 95% LTV NatWest H2B mortgage guarantee product. 

 I was hoping that the guarantee from the government might offset the risk as the guarantee covers the 80%-95% portion of the mortgage? 

Normal lending criteria will still apply. The Government isn't going to underwrite risk on uncommercial terms. Nor are lenders exempt from following standard regulatory requirements or guidance. For borrowers the interest rates aren't going to highly attractive. A larger deposit will still be beneficial. 

A larger deposit would be my preference too and we know the normal criteria still applies. The reason we have a smaller deposit it obviously partly due to our higher outgoings and the fact my youngest is at nursery so has been costing me over 1k a month for the last 3 years. The fees are reduced now and she starts school in September so that frees up more money immediately. We're in our early 40's so time isn't on our side in terms of saving for another few years etc. We want to get onto the ladder asap and stop spending dead money on rent.

You are the type of borrower the scheme is targeted at. 

I really hope so! I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case. The scheme is running till the end of next year so the most we could do is try and clear some of our debt and maybe look to try next year instead but we are very unhappy in our current rental so hoped we had a glimpse of freedom, haha.

Always helpful to have an incentive.  Reminds me of one of my favourite Chinese sayings. "A man who who wishes to move a mountain starts by moving the smallest stones first". 

Love that, feels like we've been moving those small stones for years

chasingfreedom

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

K_S

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

chasingfreedom

K_S said:

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

K_S said:

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

I went through a broker and just gave them all of the details they asked me for, I'm pretty sure at no point did they ask me how much I spend on childcare (but maybe I've just forgotten as it was last year) They said they didn't need to know any household expenses just credit commitments and income. The only 'other' I provided was childcare voucher deductions, bonuses and pension payments from memory.

K_S

chasingfreedom said:

K_S said:

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

K_S said:

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

I went through a broker and just gave them all of the details they asked me for, I'm pretty sure at no point did they ask me how much I spend on childcare (but maybe I've just forgotten as it was last year) They said they didn't need to know any household expenses just credit commitments and income. The only 'other' I provided was childcare voucher deductions, bonuses and pension payments from memory.

@chasingfreedom I don't want to question your memory but I don't know of any broker who wouldn't ask about dependents and childcare costs for an AIP or even just to give you a ballpark borrowing figure as that directly impacts affordability and has to be entered under commitments in any lender's AIP (at least the broker version of it).

chasingfreedom

K_S said:

chasingfreedom said:

K_S said:

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

K_S said:

chasingfreedom said:

MWT said:

chasingfreedom said:

 I was quite hopeful before the other responses above that this might help us but sounds like the consensus is that because they asked for a higher deposit previously they would refuse us a 95% mortgage now. I will be gutted if that's the case.

Certainly worth talking to a broker later in the year once the new products are available and once you have the childcare costs out of the way perhaps.

That should make a noticeable difference to your expenditure.

Yes, agreed. What's interesting though is that they haven't asked me for any childcare costs with any of my AIP's so far so they don't even know we have any at this point. They've only asked me for loans/cards etc. We have a joint income of approx 5.5k a month (after tax) and our loans/car/cards account for about 1.4k. 

@chasingfreedom It may not specifically say 'Childcare costs', but most AIP forms should have a section asking for 'other outgoings' or 'other commitments', etc

I went through a broker and just gave them all of the details they asked me for, I'm pretty sure at no point did they ask me how much I spend on childcare (but maybe I've just forgotten as it was last year) They said they didn't need to know any household expenses just credit commitments and income. The only 'other' I provided was childcare voucher deductions, bonuses and pension payments from memory.

@chasingfreedom I don't want to question your memory but I don't know of any broker who wouldn't ask about dependents and childcare costs for an AIP or even just to give you a ballpark borrowing figure as that directly impacts affordability and has to be entered under commitments in any lender's AIP (at least the broker version of it).

Happy to accept I might be losing the plot (and my memory!!) haha. 

MWT

chasingfreedom said:

Happy to accept I might be losing the plot (and my memory!!) haha. 

In this case let's hope so

.. as if you were failing without them even knowing about the childcare costs that is a much steeper hill to climb...

chasingfreedom

Oh god,MWT said:

chasingfreedom said:

Happy to accept I might be losing the plot (and my memory!!) haha. 

In this case let's hope so

.. as if you were failing without them even knowing about the childcare costs that is a much steeper hill to climb...

Oh gosh, I hadnt even thought of that!! I might call them and double check or I'll lose my mind!! Although the childcare is only for another few months now so we could wait it out. Assuming it was declared maybe just the reduction there will help us. I'll update after I speak to them.

getmore4less

How much are you trying to borrow?