flis wrote:
Trooper wrote:
Mortgages are really fucking annoying!
House move is still possible, but depends on whether I can get the mortgage, but the house up north is making things tricky...
Yes they are.
The best offer we got was for an 80% mortgage, the rest would give us anything up to 60%. The property is only worth £227,000 but over 15 years the repayments are quite a lot. The affordability test they do these days tripped us up, they were strict with the percentage of your income they like you to have left after everything goes out of your account, and got hung up on the fact we'd have less than 15% of our net income left a month after all our outgoings. They didn't seem to take much account of the fact that that percentage equated to over £800. I thought a +£800/month buffer was pretty bloody good! We reduced our savings and holiday budget per month to zero in order to secure the 80% mortgage after going through the process with the first bank we spoke to.
In my case the tame mortgage broker for the builders is insisting that it is impossible to get a 95% mortgage on a new build unless you go with either NewBuy or Help-to-buy, and I can't do either of those schemes due to either the second house or the want to part-ex. Apparently they are whole-of-market brokers and there aren't any mortgages out there for me in the whole marketplace. Which is strange as my broker has a couple he is going to put me forward for, and another broker I called up to check has 5 different mortgages on his system that would work in my situation too!
At least their broker has confirmed my affordability, now I just need to get a mortgage offer in principle before I can get back into negotiations with the builders, as they are understandably jittery due to the moronic advice they have been given by their broker. Unfortunately my broker is off on hols till wednesday, so it's all on pause for now.
Worst case is that I try and do a private sale and then go through NewBuy, but the part ex offer is actually more than I expect to be able to get on the open market, and with NewBuy the builder can't top up the deficit with money, as that isn't allowed on the scheme.