Easy way to get a mortgage...?
Discussion
Hi All,
Ok, so I know there is no easy way to get a mortgage, but I'm being given completely contradicting advise by 2 IFAs.
I'm trying to raise a mortgage on a new purchase, the problem being that I'm self employed and thus income is difficult to verify...
One adviser is adamant that the easy route is to re-mortgage my current property and port the product across onto the new house. His argument being; there is more chance of the application being 'fast tracked' , therefore greater chance of success.
The other adviser argues that there should be one application for the new purchase only, take the chance that it will be 'fast tracked' and reduce the number of credit checks. Also arguing that if the 'port' is rejected we are then stuck with redemption penalties to get out of the re-mortgage.
I am inclined to follow the advice of the second chap, however that is based on no knowledge whatsoever about the current lending criteria, etc. Any insight would be much appreciated, I don't want to take the wrong decision, run unnecessary credit checks, thus harming the rating and ultimately fail to secure the finance and lose the property. The current lender is not an option, as I don't meet their current criteria, despite servicing the mortgage with no problems.
I miss the good old days!
Thank you in advance for any help.
Ok, so I know there is no easy way to get a mortgage, but I'm being given completely contradicting advise by 2 IFAs.
I'm trying to raise a mortgage on a new purchase, the problem being that I'm self employed and thus income is difficult to verify...
One adviser is adamant that the easy route is to re-mortgage my current property and port the product across onto the new house. His argument being; there is more chance of the application being 'fast tracked' , therefore greater chance of success.
The other adviser argues that there should be one application for the new purchase only, take the chance that it will be 'fast tracked' and reduce the number of credit checks. Also arguing that if the 'port' is rejected we are then stuck with redemption penalties to get out of the re-mortgage.
I am inclined to follow the advice of the second chap, however that is based on no knowledge whatsoever about the current lending criteria, etc. Any insight would be much appreciated, I don't want to take the wrong decision, run unnecessary credit checks, thus harming the rating and ultimately fail to secure the finance and lose the property. The current lender is not an option, as I don't meet their current criteria, despite servicing the mortgage with no problems.
I miss the good old days!
Thank you in advance for any help.
ThreesixtyM said:
Hi All,
Ok, so I know there is no easy way to get a mortgage, but I'm being given completely contradicting advise by 2 IFAs.
I'm trying to raise a mortgage on a new purchase, the problem being that I'm self employed and thus income is difficult to verify...
One adviser is adamant that the easy route is to re-mortgage my current property and port the product across onto the new house. His argument being; there is more chance of the application being 'fast tracked' , therefore greater chance of success.
The other adviser argues that there should be one application for the new purchase only, take the chance that it will be 'fast tracked' and reduce the number of credit checks. Also arguing that if the 'port' is rejected we are then stuck with redemption penalties to get out of the re-mortgage.
I am inclined to follow the advice of the second chap, however that is based on no knowledge whatsoever about the current lending criteria, etc. Any insight would be much appreciated, I don't want to take the wrong decision, run unnecessary credit checks, thus harming the rating and ultimately fail to secure the finance and lose the property. The current lender is not an option, as I don't meet their current criteria, despite servicing the mortgage with no problems.
I miss the good old days!
Thank you in advance for any help.
I'm a Mortgage Broker Ok, so I know there is no easy way to get a mortgage, but I'm being given completely contradicting advise by 2 IFAs.
I'm trying to raise a mortgage on a new purchase, the problem being that I'm self employed and thus income is difficult to verify...
One adviser is adamant that the easy route is to re-mortgage my current property and port the product across onto the new house. His argument being; there is more chance of the application being 'fast tracked' , therefore greater chance of success.
The other adviser argues that there should be one application for the new purchase only, take the chance that it will be 'fast tracked' and reduce the number of credit checks. Also arguing that if the 'port' is rejected we are then stuck with redemption penalties to get out of the re-mortgage.
I am inclined to follow the advice of the second chap, however that is based on no knowledge whatsoever about the current lending criteria, etc. Any insight would be much appreciated, I don't want to take the wrong decision, run unnecessary credit checks, thus harming the rating and ultimately fail to secure the finance and lose the property. The current lender is not an option, as I don't meet their current criteria, despite servicing the mortgage with no problems.
I miss the good old days!
Thank you in advance for any help.
What LTV is your new purchase going to be?
Roughly what is your income, as a multiplier, in relation to what you are looking to borrow?
Are both Advisor's recomending the same lender?
Which lender are they proposing?
ThreesixtyM said:
Hi All,
Ok, so I know there is no easy way to get a mortgage, but I'm being given completely contradicting advise by 2 IFAs.
I'm trying to raise a mortgage on a new purchase, the problem being that I'm self employed and thus income is difficult to verify...
One adviser is adamant that the easy route is to re-mortgage my current property and port the product across onto the new house. His argument being; there is more chance of the application being 'fast tracked' , therefore greater chance of success.
The other adviser argues that there should be one application for the new purchase only, take the chance that it will be 'fast tracked' and reduce the number of credit checks. Also arguing that if the 'port' is rejected we are then stuck with redemption penalties to get out of the re-mortgage.
I am inclined to follow the advice of the second chap, however that is based on no knowledge whatsoever about the current lending criteria, etc. Any insight would be much appreciated, I don't want to take the wrong decision, run unnecessary credit checks, thus harming the rating and ultimately fail to secure the finance and lose the property. The current lender is not an option, as I don't meet their current criteria, despite servicing the mortgage with no problems.
I miss the good old days!
Thank you in advance for any help.
Are these IFA's that dabble in mortgages or Mortgage Brokers? Either way i would suggest you steer clear.Ok, so I know there is no easy way to get a mortgage, but I'm being given completely contradicting advise by 2 IFAs.
I'm trying to raise a mortgage on a new purchase, the problem being that I'm self employed and thus income is difficult to verify...
One adviser is adamant that the easy route is to re-mortgage my current property and port the product across onto the new house. His argument being; there is more chance of the application being 'fast tracked' , therefore greater chance of success.
The other adviser argues that there should be one application for the new purchase only, take the chance that it will be 'fast tracked' and reduce the number of credit checks. Also arguing that if the 'port' is rejected we are then stuck with redemption penalties to get out of the re-mortgage.
I am inclined to follow the advice of the second chap, however that is based on no knowledge whatsoever about the current lending criteria, etc. Any insight would be much appreciated, I don't want to take the wrong decision, run unnecessary credit checks, thus harming the rating and ultimately fail to secure the finance and lose the property. The current lender is not an option, as I don't meet their current criteria, despite servicing the mortgage with no problems.
I miss the good old days!
Thank you in advance for any help.
Has either of them explained the difference between Fast Track and Self Cert? (Its pretty fundamental)
Effectively both of the people you've spoken to have recommended you wing it and hope. The sad part is that they probably think the risk is all yours, but lender dependent they could (arguably should) put themselves in the firing line too.
The first guy is a fool. He's hoping to get 2 lots of commission from the remortgage and the port.
2 lots of credit checks, 2 applications, and 2 applications on an FT basis in a short period of time? Its a recipe for disaster.
The second guy is merely hoping that you fast track.
What have they suggested will happen if your application doesn't fast track?
What have they suggested if the lender fast tracks you and then asks for proof? Particularly if they ask for that proof between Exchange and completion? When you are committed to a property you now can't mortgage.
Presumably they've looked at what income you can prove and told you it won't work?
Bascically what Scotal said!
What they are proposing is technically mortgage fraud, ie putting an inflated figure down and hope the lender wears it!
The sad thing is that this is precisely the thing that was supposed to have been stamped out ages ago...
I am and IFA but specialise in mortgages, and id never do that because i like sleeping at night!
Main reason being with a fast track the onus is on the ADVISER to check income properly.
If at any time during or later on, ie years to come, its checked by the FSA and were found wanting of not substantiating income thoroughly, wed be done for fraud! Simple as that.
If either one of these so called 'advisers' is daft enough to do this for you, please let us know who they are so that the decent/honest amongst our profession can sort them out!
Best advice is to find a real adviser, not a monkey
What they are proposing is technically mortgage fraud, ie putting an inflated figure down and hope the lender wears it!
The sad thing is that this is precisely the thing that was supposed to have been stamped out ages ago...
I am and IFA but specialise in mortgages, and id never do that because i like sleeping at night!
Main reason being with a fast track the onus is on the ADVISER to check income properly.
If at any time during or later on, ie years to come, its checked by the FSA and were found wanting of not substantiating income thoroughly, wed be done for fraud! Simple as that.
If either one of these so called 'advisers' is daft enough to do this for you, please let us know who they are so that the decent/honest amongst our profession can sort them out!
Best advice is to find a real adviser, not a monkey
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