Anyone else trying to get a mortgage at the moment?

[magickate]

We're struggling 🙁

We were originally going to move last year but didn't for a few reasons. We did have a mortgage in principle though.

Just over 12 months later and it seems they're not so generous with their lending. The maximum we can get is 85% of the house value and they are taking every little outgoing into account. We're being offered significantly less.

It looks as though we can't go for the house we want. So frustrating! If we wanted to rent and pay more than the mortgage would be nobody would have an issue with that.

[Bellasmummy]

We got our offer a couple of weeks ago but our loan to value is low. From application to offer was less than 2 weeks.

I’m hoping our buyers don’t have an issue as their loan to value is high. The survey is next week, it was going to be desktop but they will now be coming to the house due to the loan to value.

[magickate]

Fingers crossed for you/them!

We had a 30k deposit for a 250k house so need to up that now. Not a huge problem really we could make it work but the amount we can borrow has dropped by over 20k and that's the issue.

Our only hope is that the house is still on the market in a couple of months and the lending situation has improved.

[Stitchesmumanddad]

Lenders have tightened up their lending criteria due to the current situation. Are you using a broker to find your mortgage ?

[Sas]

My advice would be to use a mortgage broker. We used one and he was brilliant didn't cost us anything either. The estate agent recommended him admittedly we have a lot of equity but still think it's worth a try.
Good luck x

[Sew109]

Completely agree allways use a broker now it is nuts though as we only owe about 10% on our house but if i tried to get a mortgage now no one would give it to me.

When I got my first BTL mortgage in the late 90's they offered me 125% LTV (I only took 90%) and it took 3 days and very little documentation

[MissB87]

We got our confirmation this morning, simple and completed in about 2 weeks but like some others our loan to value is low.

Agree with others a good broker makes a lot of difference. Fingers crossed for you, it’s tricky out there!

[DadToThree]

Yes we’re due to move house very soon. However our budget has changed quite dramatically.

Before lockdown etc we worked on the 10% deposit thing. We rang our current lender to see what they could offer in late July. Were told that they’d only offer us 80% LTV so a 20% deposit!

Got an agreement in principle at 80% and figured we’d just about be able to afford it if we reduced our budget. So took it.

Anyway when it came to the point of actually applying about 6 weeks later once we’d sold and chosen a house to buy, we had to go through checks again so they checked to see if we’d be accepted at 85% and thankfully we were.

So although our budget was reduced we’re now going to end up with quite a bit of equity so it’s worked out well even though we did have to shrink the budget quite dramatically because we’re really excited about the house we’ve bought

[JudyC]

Our daughter and her partner are struggling yes. First they needed 10% , then 15%, and then it went to 20% . They used a broker and this was a month or so ago. We've lent them some money and they are saving as much as they can and looking at houses around 200k now rather than 250k. The problem is they are finding it hard to get what they want, either it's only two bedrooms or street parking compromises. This is in the East Midlands area. They've decided to keep looking and they will either find the right house at a good price or wait a few months and get another few thousand saved up.

[skalexander]

We moved into our house a month ago and we had issues getting a mortgage, even though we'd had a mortgage for 9 years and never missed a payment (on anything). Our existing lender, HSBC, wouldn't touch us (still don't understand why) and we've ended up with Barclays, who actually were incredibly straight forward to deal with, no micro-analysing of spending etc. but not our first choice as they wanted the highest deposit. We had a good amount go equity from our last house and hoped to keep some back to do some improvements, but we had to put every penny down.

My brother also had massive issues buying his first house, as what he could borrow reduced dramatically form pre-Covid, despite no change in his position. Our parents ended up helping him, its just fortunate they were willing and able to do that.

Its a very difficult time to be trying to buy. Fortunately, our broker was fantastic so we got there in the end. If you haven't got a broker, you need to get one.