I think we won't be able to buy at all. Please help.

mrsmortgage · 7 October 2019 at 12:55PM

So when we received our MIP documents it stated to a "maximum" 15% deposit and the max they'd led would be £175k.

We have found a house (that we're in the middle of buying) which is worth £195k. We have £20k in deposit, so we can make it to the £195k, however (and this is completely my fault) I thought that as long as it was at least 10% and the max. lending and my deposit covered the house price things would be OK, but now the mortgage broker is saying it's 15%.

Does this mean our chances are completely gone?

We don't have those £10k on top. (well we do but they'll be used to clear our credit cards, which I thought were supposed to be cleared closer to completion, not now).

ACG · 7 October 2019 at 1:03PM

That sounds badly worded if that is how the broker has worded it - or are you paraphrasing?

In any event, has your broker said they have options at a higher LTV?

I prefer to be straight to the point (hopefully not coming across as rude), but you have a broker, what have they said? If 85% is maximum LTV they can get and you cant find the 15% then you either need to put it off and save up or find a cheaper property.

If your broker thinks you can get a 15% deposit and has not looked for 90% products, then you need to ask them to do that.

[Deleted User] · 7 October 2019 at 1:04PM

No, it just means you need to get a broker to try find a deal that fits what you are trying to do.

Is your 15% deposit requirement credit history based?

If you've got a broker now, what are they saying your options are?

mrsmortgage · 7 October 2019 at 1:08PM

That's the MIP said, not paraphrasing. Yes, wend need a 90LTV product and we can't find anything cheaper, this is the cheapest we have found.

We discussed between 10 and 15%> I reread an email and it that one he did state the approval was based on a 15% product. However that was a thread of emails for a different property.

Stupid me always based our purchase in the maximum they'd lend as long as I had a 10% deposit.

mrsmortgage · 7 October 2019 at 1:10PM

I don't know where the 15% comes from. We're both on lowish salaries (£39k joint income) and AGAIN have always based what to buy based on what they'd lend at most not the LTV.

mrsmortgage · 7 October 2019 at 1:11PM

I have a MIP with NatWest btw, and from what they say it's on 15% LTV

MortgageMamma · 7 October 2019 at 1:13PM

Your broker should be guiding you through this step by step and leaving nothing to chance or for you to misinterpret.

Depending on which lenders your broker has access to (some work off a restricted lender panel or just don't have the right knowledge to place high loan to value cases) there may be scope for you to do this at 90% but what you need to find out is WHY you can only get an 85% mortgage. Once we know the reasons we may be able to give you some pointers.

I think you need to go back to your broker and get him/her to explain it all to you again, as you wouldn't want to lose the house without a fight would you?

Get a second opinion if you are not happy with how things stand or you are not convinced by your brokers explanation.

ACG · 7 October 2019 at 1:21PM

It sounds like there has maybe been some miscommunication down the line. I think you need to pick up the phone to your broker and explain you have a deposit of £x and you can not get to 15%.

It may just be that they have given you a product at 85% LTV as they assumed a 15% deposit was achievable based on conversation you had. Or it may be that he can only get you 85% LTV.

I would hazard a guess that if you are getting 85% with Natwest, there will be a a way to get 90% LTV.

Speak to your broker, dont do emails etc. Have a chat, I much prefer speaking to my customers you learn a lot more on a 5 minute conversation that you do 5 emails going back and forth.

mrsmortgage · 7 October 2019 at 1:28PM

Well now I remember that I actually asked him to go for a 10% one as it didn't really make a difference in APR, but that was a couple of months ago so I don't quite remember what I told him

ACG · 7 October 2019 at 1:32PM

mrsmortgage wrote: »

Well now I remember that I actually asked him to go for a 10% one as it didn't really make a difference in APR, but that was a couple of months ago so I don't quite remember what I told him

If you told him that and he has come back with 85% LTV without explaining why, that seems a bit poor.

I would like to think there will be options for you at 90% from what you have said. But in the first instance I would speak to your broker, see what they say. If that does not pan out as it maybe should then it is probably worth speaking to a broker.

One broker saying something can not be done does not mean it can not be done.

MortgageMamma · 7 October 2019 at 1:32PM

You need to get him to explain to you, it seems communication isn't flowing - get back in touch with him and tell him what you want now at this moment in time.

If he can't get you what you want ask why, then try another broker. Are you using someone local to you or a big firm like L&C?

I think we won't be able to buy at all. Please help.

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