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  • FIRST POST
    • bob0x
    • By bob0x 9th May 18, 10:20 PM
    • 2Posts
    • 0Thanks
    bob0x
    Declined for mortgage after changing house purchase
    • #1
    • 9th May 18, 10:20 PM
    Declined for mortgage after changing house purchase 9th May 18 at 10:20 PM
    I'm a FTB and I recently had to withdraw an offer on a property after a very bad survey. I was mid mortgage application with Barclays and had passed the credit check with no problem, however after Barclays did the valuation survey they came back and told me that they were unable to process the mortgage offer without damp and timber surveys as they had found high levels of moisture in the house. Ultimately this combined with issues that cropped up on my own survey, and the cost of the repairs which could not be negotiated on, meant I had to withdraw my offer and my mortgage application was put on hold.

    Last week I had an offer accepted on another property for 4000 more than the house I was originally buying, I told my mortgage adviser at Barclays and they amended my application with the new details and sent it off to the underwriters. However today the underwriters have come back and said that my application has been declined because my credit rating is now too low. My adviser told me to check my report and there is nothing showing as negative on it apart from the credit application search that Barclays did for my original mortgage application, all of my scores are the same too on each of the reference agencies. The only other difference that is on my file is that I am 1 IN credit on my credit card but that balance is now 0 on my online banking.

    Has my ability to get a mortgage now gone out the window because I withdrew from the first house sale and now have 2 credit application searches against me? It seems ridiculous to me that Barclays are seemingly declining me because my credit rating is now 'too low' because of a search they did themselves. Or is this a case of they don't want to lend me the additional money that I've asked for? Any advice is very much appreciated!
Page 1
    • Mortgage_Adviser
    • By Mortgage_Adviser 10th May 18, 9:26 AM
    • 177 Posts
    • 65 Thanks
    Mortgage_Adviser
    • #2
    • 10th May 18, 9:26 AM
    • #2
    • 10th May 18, 9:26 AM
    The banks change their scoring models all the time and it may be that you were very marginally above their decline thresold last time, so a slightest change in their risking model was enough to push you below their acceptance threshold.
    Or for example, the only had a set budget allocated to lend to people with a small deposit for say a setr quarter of the year and now this budget has been used up.
    • Grezz24
    • By Grezz24 10th May 18, 10:34 AM
    • 170 Posts
    • 190 Thanks
    Grezz24
    • #3
    • 10th May 18, 10:34 AM
    • #3
    • 10th May 18, 10:34 AM
    The banks change their scoring models all the time and it may be that you were very marginally above their decline thresold last time, so a slightest change in their risking model was enough to push you below their acceptance threshold.
    Or for example, the only had a set budget allocated to lend to people with a small deposit for say a setr quarter of the year and now this budget has been used up.
    Originally posted by Mortgage_Adviser
    so is there a certain time that's best to apply for a mortgage then, that would take into account their quarter quotas etc?
    • zx81
    • By zx81 10th May 18, 10:54 AM
    • 18,617 Posts
    • 19,870 Thanks
    zx81
    • #4
    • 10th May 18, 10:54 AM
    • #4
    • 10th May 18, 10:54 AM
    The quarter quota was just a theoretical example.
    • kingstreet
    • By kingstreet 10th May 18, 11:28 AM
    • 34,122 Posts
    • 18,513 Thanks
    kingstreet
    • #5
    • 10th May 18, 11:28 AM
    • #5
    • 10th May 18, 11:28 AM
    Have you moved into a higher LTV band?
    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.
    • bob0x
    • By bob0x 10th May 18, 1:13 PM
    • 2 Posts
    • 0 Thanks
    bob0x
    • #6
    • 10th May 18, 1:13 PM
    • #6
    • 10th May 18, 1:13 PM
    No it's still a 90% LTV because I increased my deposit.
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