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  • FIRST POST
    • SunshineRay11
    • By SunshineRay11 11th Mar 18, 6:40 PM
    • 3Posts
    • 2Thanks
    SunshineRay11
    Mortgage Deposit
    • #1
    • 11th Mar 18, 6:40 PM
    Mortgage Deposit 11th Mar 18 at 6:40 PM
    Hi all,

    I am in the process of applying for a mortgage after having an offer accepted on a new build as a first time buyer using the HTB scheme.

    We are pretty confident will get accepted and have a Mortgage In Principle from Natwest. But after scouring the internet its got me a bit scared of been rejected.

    For the last few months I have been selling stuff weekly on Ebay/Etsy like crafty bits and bobs/old furniture that Iíve restored to help top up savings faster for all the fees and extras, as we wasnt planning on buying this earlier but after seeing an upcoming development been released that we fell in love with, it came around a bit earlier.

    I suspect we will get asked about these deposits into savings? Will the lenders see it as undisclosed income? I havenít disclosed it in the income section as we arenít a business and it isnít income, but Iím worried they will frown upon it now?

    Anyone been in a similar situation?
Page 1
    • ACG
    • By ACG 11th Mar 18, 6:45 PM
    • 16,833 Posts
    • 8,784 Thanks
    ACG
    • #2
    • 11th Mar 18, 6:45 PM
    • #2
    • 11th Mar 18, 6:45 PM
    They may ask, but technically even if it is an income (I am not HMRC) as the tax year does not end until April and you have until the following January to declare it, they would not accept it as income without evidence (in the form of self assessments) anyway.

    If they ask, just tell them it is a hobby or whatever you would class it as.
    Last edited by ACG; 11-03-2018 at 7:00 PM.
    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.
    • Thrugelmir
    • By Thrugelmir 11th Mar 18, 6:59 PM
    • 58,475 Posts
    • 51,848 Thanks
    Thrugelmir
    • #3
    • 11th Mar 18, 6:59 PM
    • #3
    • 11th Mar 18, 6:59 PM
    The solicitor is only going to be concerned with the source of your deposit. Not whether you've declared it as taxable income. If the money has been generated through Ebay sales then there's an auditable trail if the sum involved is signficant.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • SunshineRay11
    • By SunshineRay11 11th Mar 18, 7:06 PM
    • 3 Posts
    • 2 Thanks
    SunshineRay11
    • #4
    • 11th Mar 18, 7:06 PM
    • #4
    • 11th Mar 18, 7:06 PM
    Thanks for the quick reply. I thought as such, I arenít concerned about them considering or not considering it as income.

    What I am worried about is that my deposit will be scrutinised? As It has helped top my deposit up as well as me and my partner paying about 1-1.6k monthly too. I think I am over thinking it, Im just a worrier haha
    • Thrugelmir
    • By Thrugelmir 11th Mar 18, 9:04 PM
    • 58,475 Posts
    • 51,848 Thanks
    Thrugelmir
    • #5
    • 11th Mar 18, 9:04 PM
    • #5
    • 11th Mar 18, 9:04 PM
    What I am worried about is that my deposit will be scrutinised?
    Originally posted by SunshineRay11
    Yes it will be. To what degree depends on a number of factors. Provide plenty of evidence at the outset, be open and you'll encounter no issues. People with something to hide do tend to stand out.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • John-K
    • By John-K 11th Mar 18, 9:38 PM
    • 654 Posts
    • 1,010 Thanks
    John-K
    • #6
    • 11th Mar 18, 9:38 PM
    • #6
    • 11th Mar 18, 9:38 PM
    Hi all,

    I am in the process of applying for a mortgage after having an offer accepted on a new build as a first time buyer using the HTB scheme.

    We are pretty confident will get accepted and have a Mortgage In Principle from Natwest. But after scouring the internet its got me a bit scared of been rejected.

    For the last few months I have been selling stuff weekly on Ebay/Etsy like crafty bits and bobs/old furniture that Iíve restored to help top up savings faster for all the fees and extras, as we wasnt planning on buying this earlier but after seeing an upcoming development been released that we fell in love with, it came around a bit earlier.

    I suspect we will get asked about these deposits into savings? Will the lenders see it as undisclosed income? I havenít disclosed it in the income section as we arenít a business and it isnít income, but Iím worried they will frown upon it now?

    Anyone been in a similar situation?
    Originally posted by SunshineRay11
    How is it not income? It sounds like earnings from a business.
    • SunshineRay11
    • By SunshineRay11 11th Mar 18, 9:50 PM
    • 3 Posts
    • 2 Thanks
    SunshineRay11
    • #7
    • 11th Mar 18, 9:50 PM
    • #7
    • 11th Mar 18, 9:50 PM
    Yes it will be. To what degree depends on a number of factors. Provide plenty of evidence at the outset, be open and you'll encounter no issues. People with something to hide do tend to stand out.
    Originally posted by Thrugelmir
    Thank you for your help, I was going to provide as much as I can all at once anyway to speed the process up and make it easier

    How is it not income? It sounds like earnings from a business.
    Originally posted by John-K
    Is selling your belongings an income or business? !!!129300; Ive painted/decorated old furniture and house accessories and sold them on to help gather funds for a deposit, now Iíve got the money and frankly nothing left to sell, it wonít be happening again. I never bought items with the intention to resell and make a profit, its just items around my home so Iím pretty sure this is not classed as a business?
    • Thrugelmir
    • By Thrugelmir 11th Mar 18, 9:54 PM
    • 58,475 Posts
    • 51,848 Thanks
    Thrugelmir
    • #8
    • 11th Mar 18, 9:54 PM
    • #8
    • 11th Mar 18, 9:54 PM
    Thank you for your help, I was going to provide as much as I can all at once anyway to speed the process up and make it easier
    Originally posted by SunshineRay11
    By far the easiest approach. Accept that the professionals involved have certain tasks to fulfill as part of their role. You'll encounter enough stress during the process later on. Without creating unneccessary stress for yourselves.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
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