When it comes to the mortgage journey, it can be common for people to encounter some issues that can stall them and getting Declined for a Mortgage in Birmingham. It can sometimes become a challenge to overcome these obstacles, especially if you are in a complicated situation.
Here at Birminghammoneyman, our team has come across a variety of mortgage hurdles, especially with First Time Buyer or Home Movers in Birmingham with complex cases. Through our 20 plus years of experience in the industry, we have encountered a lot of challenging situations and know the ways to deal with them.
On the rare occasion that we face a situation we haven’t seen before, our team will work hard in overcoming this towards mortgage success. If you are a First Time Buyer in Birmingham, you might have little to no knowledge about these hurdles which is where we can help!
With an endless list of hurdles that people have encountered before out there, below are just a few that are more common and are hurdles that many applicants face in the midst of the mortgage process.
If you do have children, it is uncommon for you to be turned down for this. On the other hand, it may put you at a slight disadvantage when it comes to your offer as it may be a little lower because you have children.
From a lenders point of view, they want to ensure that you can afford all your mortgage payments along with your current expenses. These costs outgoing do include childcare costs. Lenders have to factor these in as childcare can usually be hundreds of pounds each month. Childcare costs rarely do down, they mostly increase! Therefore, lenders would see this in the same as they would with a loan or hire purchase.
You might have no nursery fees to pay, however, you may find that you still get offered less than buyers with no children. One factor that is good to know if you have children is that some lenders may take into account child benefits if you are in receipt of tax credits.
In the unfortunate event that you and your partner decide to go your separate ways, it’s likely that you will encounter some financially related issues, especially if you have a joint mortgage.
If you are financially linked with someone else, it may be difficult for lenders to accept you. This is because lenders don’t want you to have different sets of mortgage payments to meet each month, it could be a lot to keep up with.
Our team find we get asked the same questions when people approach us for Specialist Mortgage Advice in Birmingham when they are in need of help with their mortgage.
These types of mortgage hurdles can get it pretty complex, very quickly. Generally, there is a solution to these situations, and our team may be able to help overcome them. Having an expert Mortgage Broker in Birmingham by your side, we aim to take a lot of stress away as possible through these difficult times.
Benefit income can have mixed views with lenders. Child tax credits, working tax credits and disability allowances could be factored in as income with certain lenders. Get in touch with our team if you are looking for more information about mortgage and benefit income. Our Mortgage Advisors in Birmingham will review your situation and find you a lender who will consider your benefit income to match you. We aim to get it right the first time!
In most cases, applicants go into a new job with a larger salary. With this extra income, many put this towards a new mortgage. You may automatically think that this would mean you are more likely to get a mortgage but, this isn’t always the case.
Normally, starting a new job will come with a probationary period. These are usually fine, however, there will be a bit of uncertainty there. Many lenders might only accept you as soon as you have job security. This all depends on the lender and mortgage costs.
In order to determine your work patterns, lenders will also look at your employment history. This will show them if you are dipping in and out of work or not. Having gaps in your employment can harm your application. Many lenders will work from a newly signed employment contract even in your first month.
Every single mortgage lender and mortgage broker legally has to evidence where the borrowers’ deposit funds for any purchase have come from. This is to combat money laundering and show that the applicant has raised funds legally. You might find your solicitor and the estate agent will ask for evidence of your deposit also.
Regardless of where your deposit is from if it is savings, premium bonds, the sale of another property, gifted from a family member or friend, from family overseas, or a personal loan, you are required to have a paper audit trail for the accumulation of funds.