Mortgage frustration
Discussion
This may well be a bit of a rant as much as a request for help, but a nudge in the right direction would be appreciated.
A bit of history to start off. Up until last year I had a mortgage of around £300k on my home. I bought the house in 2005 with my now ex-wife, although always in my name alone, as she had a history of being rather rubbish with money. However, after realising that there was little point in having a larger home now I'm on my own, I decided to downsize. Big mistake, as it's just too small for me.
I bought a two bed place for a low figure for cash, that needed a few quid spending on it, with the plan to live there for a year and modernise it at the same time, then rent it out. That's all now done a,d the house is ready to rent.
I want to move to a house that's bigger, but it seems that asking for a simple £180k mortgage on a £200k house with the borrowing amounting to around a 2.5 (employed) income multiplier from my bank involves all sorts of hassle. I'm only borrowing that high, as I want to keep around £30k back to renovate the new place inside. I'd cash in shares, but they've taken a hit in the past few months and would rather leave that to settle down again.
Is this normal? I've not taken out a mortgage now in over a decade and just assumed with low borrowing (albeit high LTV) would be as easy as it always was.
I have no debt at all currently, so seem to be some kind of pariah.
Anybody any experience of this, or ideas who to go to to lend me the money? I'm happy to switch banks, and not stressing over the 0.75% spread on 5 year fixed rates, which is my preferred route. I'd ideally like to avoid the extra 3% stamp duty, so trying not to apply to everyone, or trawl the High St.
A bit of history to start off. Up until last year I had a mortgage of around £300k on my home. I bought the house in 2005 with my now ex-wife, although always in my name alone, as she had a history of being rather rubbish with money. However, after realising that there was little point in having a larger home now I'm on my own, I decided to downsize. Big mistake, as it's just too small for me.
I bought a two bed place for a low figure for cash, that needed a few quid spending on it, with the plan to live there for a year and modernise it at the same time, then rent it out. That's all now done a,d the house is ready to rent.
I want to move to a house that's bigger, but it seems that asking for a simple £180k mortgage on a £200k house with the borrowing amounting to around a 2.5 (employed) income multiplier from my bank involves all sorts of hassle. I'm only borrowing that high, as I want to keep around £30k back to renovate the new place inside. I'd cash in shares, but they've taken a hit in the past few months and would rather leave that to settle down again.
Is this normal? I've not taken out a mortgage now in over a decade and just assumed with low borrowing (albeit high LTV) would be as easy as it always was.
I have no debt at all currently, so seem to be some kind of pariah.
Anybody any experience of this, or ideas who to go to to lend me the money? I'm happy to switch banks, and not stressing over the 0.75% spread on 5 year fixed rates, which is my preferred route. I'd ideally like to avoid the extra 3% stamp duty, so trying not to apply to everyone, or trawl the High St.
snorky782 said:
This may well be a bit of a rant as much as a request for help, but a nudge in the right direction would be appreciated.
A bit of history to start off. Up until last year I had a mortgage of around £300k on my home. I bought the house in 2005 with my now ex-wife, although always in my name alone, as she had a history of being rather rubbish with money. However, after realising that there was little point in having a larger home now I'm on my own, I decided to downsize. Big mistake, as it's just too small for me.
I bought a two bed place for a low figure for cash, that needed a few quid spending on it, with the plan to live there for a year and modernise it at the same time, then rent it out. That's all now done a,d the house is ready to rent.
I want to move to a house that's bigger, but it seems that asking for a simple £180k mortgage on a £200k house with the borrowing amounting to around a 2.5 (employed) income multiplier from my bank involves all sorts of hassle. I'm only borrowing that high, as I want to keep around £30k back to renovate the new place inside. I'd cash in shares, but they've taken a hit in the past few months and would rather leave that to settle down again.
Is this normal? I've not taken out a mortgage now in over a decade and just assumed with low borrowing (albeit high LTV) would be as easy as it always was.
I have no debt at all currently, so seem to be some kind of pariah.
Anybody any experience of this, or ideas who to go to to lend me the money? I'm happy to switch banks, and not stressing over the 0.75% spread on 5 year fixed rates, which is my preferred route. I'd ideally like to avoid the extra 3% stamp duty, so trying not to apply to everyone, or trawl the High St.
I can (hopefully) help, if you want to drop me a mail/PM A bit of history to start off. Up until last year I had a mortgage of around £300k on my home. I bought the house in 2005 with my now ex-wife, although always in my name alone, as she had a history of being rather rubbish with money. However, after realising that there was little point in having a larger home now I'm on my own, I decided to downsize. Big mistake, as it's just too small for me.
I bought a two bed place for a low figure for cash, that needed a few quid spending on it, with the plan to live there for a year and modernise it at the same time, then rent it out. That's all now done a,d the house is ready to rent.
I want to move to a house that's bigger, but it seems that asking for a simple £180k mortgage on a £200k house with the borrowing amounting to around a 2.5 (employed) income multiplier from my bank involves all sorts of hassle. I'm only borrowing that high, as I want to keep around £30k back to renovate the new place inside. I'd cash in shares, but they've taken a hit in the past few months and would rather leave that to settle down again.
Is this normal? I've not taken out a mortgage now in over a decade and just assumed with low borrowing (albeit high LTV) would be as easy as it always was.
I have no debt at all currently, so seem to be some kind of pariah.
Anybody any experience of this, or ideas who to go to to lend me the money? I'm happy to switch banks, and not stressing over the 0.75% spread on 5 year fixed rates, which is my preferred route. I'd ideally like to avoid the extra 3% stamp duty, so trying not to apply to everyone, or trawl the High St.
Sarnie said:
I can (hopefully) help, if you want to drop me a mail/PM
Thanks, I've got one option to work through over the weekend and if no joy, then I'll drop you a PMThanks for the offer, much appreciated.
On a slowly embarrassing note, I'm CEMAP qualified from about 20 years ago and used to do mortgage advice for a living. I can't believe the hoops amd hurdles nowadays for what should be a simple process. Bloody FCA ruin everything.
snorky782 said:
Thanks, I've got one option to work through over the weekend and if no joy, then I'll drop you a PM
Thanks for the offer, much appreciated.
On a slowly embarrassing note, I'm CEMAP qualified from about 20 years ago and used to do mortgage advice for a living. I can't believe the hoops amd hurdles nowadays for what should be a simple process. Bloody FCA ruin everything.
No problem at all, good luck with it!Thanks for the offer, much appreciated.
On a slowly embarrassing note, I'm CEMAP qualified from about 20 years ago and used to do mortgage advice for a living. I can't believe the hoops amd hurdles nowadays for what should be a simple process. Bloody FCA ruin everything.
Lots of things have changed just since MMR in 2014......lenders are now also implementing the new MCD rules in time for March 2016 too.............fun and games!
Sarnie said:
No problem at all, good luck with it!
Lots of things have changed just since MMR in 2014......lenders are now also implementing the new MCD rules in time for March 2016 too.............fun and games!
MCD rules? Would this affect anyone who is moving product with the same lender (Execution only)? Looking to move to another 5 year fix with Britannia (CO-OP) never had a problem before, always done over the phone with no new application for affordability checks.Lots of things have changed just since MMR in 2014......lenders are now also implementing the new MCD rules in time for March 2016 too.............fun and games!
Casa1862 said:
MCD rules? Would this affect anyone who is moving product with the same lender (Execution only)? Looking to move to another 5 year fix with Britannia (CO-OP) never had a problem before, always done over the phone with no new application for affordability checks.
Mortgage Credit Directive..........MCD is unlikely to affect you but MMR might if you've not taken a mortgage after 2014.....a lot of lenders (Nationwide for example) take the opportunity at rate transfer time to re-assess customers based on the newer rules....with lots being told they affectively can't afford the mortgage they already have.....Sarnie said:
Mortgage Credit Directive..........MCD is unlikely to affect you but MMR might if you've not taken a mortgage after 2014.....a lot of lenders (Nationwide for example) take the opportunity at rate transfer time to re-assess customers based on the newer rules....with lots being told they affectively can't afford the mortgage they already have.....
Thanks for the info, much appreciated, according to Britannia Execution only is simply that and as long as no advice is taken it avoids MMR.. hopefully! Last time I re-mortgaged was in 2012. I'm half tempted to pay the ERC of 1% and take the 2.64% 5 yrs with no product fee, in total it will cost me £600 when taking into account the saving from reduced payments or wait until October and book it then, save £600 but rates could go up (Brexit & the like), new regulations coming every five minutes, I'm probably just panicking.
http://www.britannia.co.uk/_site/channels/mortgage...
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