Nationwide decline my Buy to Let mortgage

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  • manuvirk
    manuvirk Posts: 14 Forumite
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    Yes i have my own residential home
  • manuvirk
    manuvirk Posts: 14 Forumite
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    Yes you are right its The Mortgage work
  • manuvirk
    manuvirk Posts: 14 Forumite
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    kev2009 wrote: »
    why do they think your salary is not stable? not been in the job long enough?

    Kev

    I am working with this company since 2017
  • manuvirk
    manuvirk Posts: 14 Forumite
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    Deleted_User wrote: »
    I wanted to say the same kingstreet but backtracked incase they have funny way of doing them direct.
    Perhaps OP is talking about a consent to let type situation? Purely because TMW generally wouldn't decline for financial stability (unless it's credit decline).

    My assumption was either that the rent it too low for the mortgage requested, or it's a consent to let application with nationwide

    Unless OP comes back then its just a guessing game really

    Yes this TMW i have own residential property and this one already let and valuation and rent is accepted by TMW

    They given reason in written
  • kingstreet
    kingstreet Posts: 38,786 Forumite
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    Did you disclose all your credit commitments?

    What might be considered "unstable" about your finances?

    £24k of card debt is treated as a cost of £1,200 a month by TMW so that's a fairly sizeable commitment.

    How big is your residential mortgage?

    Other let properties/mortgages?

    This will have been based on your overall position and without knowing the full picture it's going to be difficult to establish what's going on. Did a broker place this, or did you make a speculative application on your own?

    TBH let's cut to the chase. Get an experienced independent broker to review your position and see where to go from there...
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
  • gozaimasu
    gozaimasu Posts: 860 Forumite
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    kingstreet wrote: »
    £24k of card debt is treated as a cost of £1,200 a month by TMW so that's a fairly sizeable commitment.


    Remind me how they work that out...?
    I still think it's ridiculous that they don't take into account that the £24k @ 0% could be sitting in cash in some savings account earning interest.
  • ACG
    ACG Posts: 23,751 Forumite
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    gozaimasu wrote: »
    Remind me how they work that out...?
    I still think it's ridiculous that they don't take into account that the £24k @ 0% could be sitting in cash in some savings account earning interest.

    Is it though?
    I have never come across anyone who has £10k in credit cards at 0% and then has £10k in savings (that is not going towards the deposit of the house). I am sure there would be lenders who might take a view on that, but in the main it does not happen so why would a lender set criteria for something that they may only come across a handful of times in a decade?

    The £1200 is 5% of the balance.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • sal_III
    sal_III Posts: 1,953 Forumite
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    isplumm wrote: »
    Hi

    By my maths it is 4.2% £16,800 / £400,000 * 100. Seems a lot of risk for such a small yield? That is assuming that the property is fully let.
    Mark
    Your maths is not counting the high rate tax so its £16'800*0.6 / £400'000*100 = 2.52%
    gozaimasu wrote: »
    Remind me how they work that out...?
    I still think it's ridiculous that they don't take into account that the £24k @ 0% could be sitting in cash in some savings account earning interest.
    They are free to devise their own lending criteria. Sure the £24k might be sitting in a savings account, but it might not and it's a sizeable debt. Why take the risk for such low return that the current mortgage rates provide...
  • kingstreet
    kingstreet Posts: 38,786 Forumite
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    Lenders typically take 3% or 5% of card balance as the cost to affordability. Nationwide/TMW uses 5%.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
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    manuvirk wrote: »
    Yes this TMW i have own residential property and this one already let and valuation and rent is accepted by TMW

    They given reason in written

    Are you attempting to withdraw equity when remortgaging?
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