100% Mortgages

peterc2609

Conrad wrote: »

Reading between the lines here are you saying brokers need to be, ermmmmmm 'flexible'?

Nope, no need to read between the lines... it was just a straight question. I wasn't sure what brokers do? I thought they just searched the internet etc for the best rates... but do they actually speak to the decision makers face to face etc?

But while your there... what do you mean flexible??

dunstonh

Basically, you are pushing the limits. Whenever that is the case, the lender is going to look at you more closely and ask for evidence rather than take your word for it. You may have got away with it 6 months ago but now.

A broker may not be able to access first direct but they have other options. Their role is to find the right mortgage for you and get you a mortgage. You wouldnt get a first direct mortgage anyway so its not worth worrying about that. FD cherry pick.

peterc2609

Are First Direct really strict?

All my accounts are kosher... by a chartered and whatever else Accountant firm... so nothing to worry about.

Dan_Collins_2

We can talk to lenders, and put a case across but at this time lenders will not stretch and change criteria at 95%. You may fit some criteria, but I doubt you will get 5.4%.

Dont worry, your not going to die from not owning your house. I would take another year and save save save. Good luck whatever direction you choose!

MORPH3US

1. "and the rates are rubbish with a 5% deposit." - What do you think they would be with no deposit (i.e. the 100% mortgage you were originally looking for)?

2. " We've seen the perfect house" - Trust me, there will be others... My girlfriend had about 5 perfect houses in a row...

3. " I earn £230 a day." Do you earn this (as in pay yourself this as a wage) or does the company earn this from the work you do?!!?

4. "Well its some sort of Tax... I'm director of a Limited Company." Seriously, have you seen a business advisor or an accountant, if not then please go and see one ASAP!

5. How secure is the work that you do for your company? Assuming you are the only director and employee, if its just one contract and that ends, you wouldn't be able to afford a £50k mortgage on your girlfriends wage, never mind £135k

Just some thoughts.

M

Conrad

peterc2609 wrote: »

Not sure what you mean?

What is your net profit declared to the Tax man for the last 2 years?

Secondly what is your net profit plus dividends plus basic salary as submitted to the revenue?

peterc2609

MORPH3US wrote: »

1. "and the rates are rubbish with a 5% deposit." - What do you think they would be with no deposit (i.e. the 100% mortgage you were originally looking for)?

The differences in the rates from 95% - 100% were less than those from 95% to 90%.

2. " We've seen the perfect house" - Trust me, there will be others... My girlfriend had about 5 perfect houses in a row...

We've been looking for a while... and this fits exactly what we want... It's a bargain. Currently up for a lot more than we can get it for.

3. " I earn £230 a day." Do you earn this (as in pay yourself this as a wage) or does the company earn this from the work you do?!!?

My contract pays 230 a day. This is then paid at the end of 30 days into my business account. I save money for taxes etc. Spend the rest (!!!) and the accountant sorts everything out. I do not pay myself this... whats the point? That would defeat the object of a Ltd company!

4. "Well its some sort of Tax... I'm director of a Limited Company." Seriously, have you seen a business advisor or an accountant, if not then please go and see one ASAP!

I have an accountant. A very good one. Which Is why i do not need to bother myself with the name of the tax. I pay the accountant to worry about that.

5. How secure is the work that you do for your company? Assuming you are the only director and employee, if its just one contract and that ends, you wouldn't be able to afford a £50k mortgage on your girlfriends wage, never mind £135k

It is one contract yes. I have been on this contract for 2.5 years. It is quite secure. If it ended, I have very sought after skills which would not see me out of work for very long.

peterc2609

Conrad wrote: »

What is your net profit declared to the Tax man for the last 2 years?

Secondly what is your net profit plus dividends plus basic salary as submitted to the revenue?

I have my Statement of Accounts in front of me now, for up to Nov 2006. This is all I have so far.

Turnover - 42152

Admin Expenses (inc wages) - 14,636

Operating profit or ordinary activities before taxation - 27516

Tax on profit on ordinary activities - 4987

Profit after taxation - 22529

Is that what you mean???

herbiesjp

I have an accountant. A very good one. Which Is why i do not need to bother myself with the name of the tax. I pay the accountant to worry about that.

Well on that basis and using the same rationale, I would suggest getting a broker to help you.

As if you do not want to bother yourself with aspects of tax, why would you want to bother yourself with arranging a mortgage?

peterc2609

herbiesjp wrote: »

Well on that basis and using the same rationale, I would suggest getting a broker to help you.

As if you do not want to bother yourself with aspects of tax, why would you want to bother yourself with arranging a mortgage?

I see the aspects of taxation etc as vey complicated with many pitfalls, which could result in imprisonment.

Whilst the idea of arranging my own mortgage would only result in me not getting the best deal.