Getting a mortgage on return?
#16
Re: Getting a mortgage on return?
We were very happy with the deal they got us - we used London & County as the broker.
That was in Jan 2008 and back then, the only question to ask of a broker was to find out if they were 'fee free and whole of market'. I think those terms are not necessarily the same now so you have to ask a couple of differently phrased questions.
#17
Re: Getting a mortgage on return?
Have a look at this article: New mortgage rules: the questions you will be asked - Telegraph
In addition, you could Google "new UK mortgage rules 2014" which brings up lots of useful information.
Basically, you need to prove to the lender that you have enough income to cover your normal outgoings - and prove it - as well as servicing the mortgage.
They also stress-test the potential mortgage for affordability against an interest rate of between 6% and 7%.
In addition, you could Google "new UK mortgage rules 2014" which brings up lots of useful information.
Basically, you need to prove to the lender that you have enough income to cover your normal outgoings - and prove it - as well as servicing the mortgage.
They also stress-test the potential mortgage for affordability against an interest rate of between 6% and 7%.
#18
A modern day warrior
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Joined: Jul 2005
Location: Here and there...currently here.
Posts: 344
Re: Getting a mortgage on return?
Have a look at this article: New mortgage rules: the questions you will be asked - Telegraph
In addition, you could Google "new UK mortgage rules 2014" which brings up lots of useful information.
Basically, you need to prove to the lender that you have enough income to cover your normal outgoings - and prove it - as well as servicing the mortgage.
They also stress-test the potential mortgage for affordability against an interest rate of between 6% and 7%.
In addition, you could Google "new UK mortgage rules 2014" which brings up lots of useful information.
Basically, you need to prove to the lender that you have enough income to cover your normal outgoings - and prove it - as well as servicing the mortgage.
They also stress-test the potential mortgage for affordability against an interest rate of between 6% and 7%.
In my position, with the equity I'll be putting in, my salary and earning potential and my profession, my wife's job and profession, being able to put these points across to a person with knowledge and capability instead of a computer, they maybe able to see a decent position. Even the brokers I used were surprised. Believe me, we are well within the affordability factor. Most calculators reckon they could lend us 325k......we want to borrow about 150k!
I've had a word with the Halifax after a tip off, they may view us well financially and not too fussed about residency, credit history and probation period. Will go and see them face to face and see where it goes. They haven't got the best mortgages around, but maybe take a 2 year fix on a low fee and bail out of it at end of the term to a better deal.
#19
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Joined: Jan 2013
Posts: 175
Re: Getting a mortgage on return?
I actually agree with this in principle. It would have prevented a lot of problems worldwide, however.......it is basically punch the data into a computer and it will say yes or no, and I don't even get as far as monthly outgoings before being rejected.
In my position, with the equity I'll be putting in, my salary and earning potential and my profession, my wife's job and profession, being able to put these points across to a person with knowledge and capability instead of a computer, they maybe able to see a decent position. Even the brokers I used were surprised. Believe me, we are well within the affordability factor. Most calculators reckon they could lend us 325k......we want to borrow about 150k!
I've had a word with the Halifax after a tip off, they may view us well financially and not too fussed about residency, credit history and probation period. Will go and see them face to face and see where it goes. They haven't got the best mortgages around, but maybe take a 2 year fix on a low fee and bail out of it at end of the term to a better deal.
In my position, with the equity I'll be putting in, my salary and earning potential and my profession, my wife's job and profession, being able to put these points across to a person with knowledge and capability instead of a computer, they maybe able to see a decent position. Even the brokers I used were surprised. Believe me, we are well within the affordability factor. Most calculators reckon they could lend us 325k......we want to borrow about 150k!
I've had a word with the Halifax after a tip off, they may view us well financially and not too fussed about residency, credit history and probation period. Will go and see them face to face and see where it goes. They haven't got the best mortgages around, but maybe take a 2 year fix on a low fee and bail out of it at end of the term to a better deal.
The process is strange in that in can fall over at so many stages. The Ageism issue is also big one to swallow
Last edited by SUPERCAD; Aug 30th 2014 at 10:43 pm.
#23
Lost in BE Cyberspace
Joined: Jan 2008
Posts: 41,518
Re: Getting a mortgage on return?
Yes it's nice around here, apparently it was historically known as "where the trees begin".
#24
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Joined: Jul 2005
Location: Here and there...currently here.
Posts: 344
Re: Getting a mortgage on return?
Did you get anywhere with the mortgage situation Sally? I tried the Halifax but their customer service is somewhat lacking in that neither of their 2 advisors I contacted have got back to me to discuss, which puts me off using them for a start off.
#25
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Joined: Jan 2008
Posts: 41,518
Re: Getting a mortgage on return?
I am working with 2 brokers. I was told that the main criteria are credit rating, deposit and income
Credit is probably going to be the main issue for returning expats, also age.
I will quote one broker ( hope he doesn't mind):
"As I said this application will hinge around 2 things, the fact that you have been in the States for 9 years - which will have an effect on your credit score, andi your ages. This is because since the Mortgage Market review in April of this year lenders are increasingly worried about lending into retirement. Therefore this is going to limit slightly the amount you can borrow, although I'm not too concerned about this, but more so the term we can do the mortgage over, which will affect your monthly payments. [Husband's] state retirement age is 66 according to the government website and therefore some lenders will stick rigidly to this others will lend to age 70, but very very few will lend over this regardless of what [he] does and for how long he intends to continue doing so."
The other broker seemed less concerned about age. He only came up with Santander.
The first broker found Santander, Virgin Money and Halifax. Halifax apparently does have a good reputation for lending to returning expats so might be worth persevering with them.
The next step will be to get an 'agreement in principle' from a lender. I haven't started that process yet.
#26
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Joined: Jan 2006
Location: San Francisco
Posts: 12,852
Re: Getting a mortgage on return?
I will quote one broker ( hope he doesn't mind):
"As I said this application will hinge around 2 things, the fact that you have been in the States for 9 years - which will have an effect on your credit score, andi your ages. This is because since the Mortgage Market review in April of this year lenders are increasingly worried about lending into retirement. Therefore this is going to limit slightly the amount you can borrow, although I'm not too concerned about this, but more so the term we can do the mortgage over, which will affect your monthly payments. [Husband's] state retirement age is 66 according to the government website and therefore some lenders will stick rigidly to this others will lend to age 70, but very very few will lend over this regardless of what [he] does and for how long he intends to continue doing so."
"As I said this application will hinge around 2 things, the fact that you have been in the States for 9 years - which will have an effect on your credit score, andi your ages. This is because since the Mortgage Market review in April of this year lenders are increasingly worried about lending into retirement. Therefore this is going to limit slightly the amount you can borrow, although I'm not too concerned about this, but more so the term we can do the mortgage over, which will affect your monthly payments. [Husband's] state retirement age is 66 according to the government website and therefore some lenders will stick rigidly to this others will lend to age 70, but very very few will lend over this regardless of what [he] does and for how long he intends to continue doing so."
#27
Lost in BE Cyberspace
Joined: Jan 2008
Posts: 41,518
Re: Getting a mortgage on return?
The age thing is galling and I hope someone sues on the basis of age discrimination. I just don't see why a retirement income should be treated any differently than any other income. In some ways, a pension or social security is a more reliable form of income than from employment. As I intend keeping my US property, I will probably end up refinancing here to ensure I have enough cash for a UK retirement "pied a terre".
Let's be honest, the lenders ****ed it up and now they are going the other way and being ultra-cautious.
#28
Re: Getting a mortgage on return?
Another suggestion is the Money Centre. I got a mortgage from them while still an expat - that was 10 years ago and I am not sure they still do that, but worth a look. It was a BTL mortgage but at the time they were also doing homeowner mortgages - again, not sure if they still do that.
#29
Lost in BE Cyberspace
Joined: Jan 2008
Posts: 41,518
Re: Getting a mortgage on return?
Another suggestion is the Money Centre. I got a mortgage from them while still an expat - that was 10 years ago and I am not sure they still do that, but worth a look. It was a BTL mortgage but at the time they were also doing homeowner mortgages - again, not sure if they still do that.