Hi Kati,

We can only discuss general points on the forum, not specifics regarding your own circumstances.  You shouldn't have much trouble in getting a good deal if you use a whole of market IFA or IMA.

Good luck

Brian

Thanks for replying,

at the time of applying for my mortgae both my husban and i were in full-time employement earning approx £2000 per month, since then my husband was made redundant and has found a new job which pays £900 per month, I now work part-time due to caring for my son and earn £500 per month, however due to my sons disablity we obtain £300 in child tax criedit as well as a disability allowance of a further £250.00.As you can appreciate due to the fact that I am not able to work full-time the tax credit and disability allowance does help our income substantialy.I hope this makes sense.I will be eagerly awaiting your advice.

Many thanks

Brian

I think you have definitely had too much off something today! 

I am pleased to hear that you conduct a significant proportion of self-cert work. 

The crux of the matter remains - there are TRUE self-cert options available and this is what I am relaying to Kati!  Whether or not she uses a mortgage broker, (of however standard!), the fact remains and that is all I was saying!

 Kind regards.

 

Hi Kati. Another option would be to call our fully-qualified and totally independent mortgage broking team at Moneysupermarket.com, who will be able to advise on your options. The number to call is 0845 345 5705

We do actually do a significant proportion of self-cert work, both in value and volume - some are "true" self cert, others not.  However, it is our Practice and Network policy that we have to see evidence of income, just a signature won't wash.  This is, I think, justified by the TV documentary made some years ago that highlighted poor practices in the self-cert market.  We have a duty of care to ensure that the client will be able to afford a mortgage, and as such are unliklely to be able to prove it to our Compliance people, the Network or the FSA, without having seen evidence.  Some may consider this position to be over the top, but we've never yet had a client decline to let us have this information (if they did we'd withdraw from the transaction).

Have I gone off on a tangent again?  too much caffeine!!! =;0)

Brian

In response to Brians comment.

I think it fair to say that based upon the content of your comment,  you do not specialise in the Self-Cert Mortgage sector.  There are literally hundreds of lending institutions who provide TRUE self-cert.  This means that NO PROOF at all is required for sight.  Indeed, you are correct to say that some lenders may require proof and that perhaps some brokers wish to have sight of income evidence.  This is not the question under deliberation, it is simply to explain ALL the options available to to the enquirer.  Put simpy, there is an option for TRUE SELF CERT available for applicable applicants.

Thanks for your comments though.

Regarding Hello2U's point on self certification.  This is a hot potato in the industry for sure.  Any good broker will ensure that, even if you as the borrower don't have to prove to the lender that you can afford it and where your income comes from, you do have to prove it to the broker - our clients are required to do more than just sign that they earn a particualr figure - bank statements, accountants' certificates etc.  Fail to prove it and you can't self cert.  Many lenders will still do random checks as well, particulalry if you apply direct.  Equally, if you're employed, there aren't many who will self cert - you also may be hampered by a slightly higher rate or fees.  It may be better to think of self cert as fast track where your max LTV is usually 75%.

Interesting though how deep you wuold have to mine for this infornmation if you were trying to source a deal yourself. 

Use a professional IFA or IMA.

Brian

Hi Katy

I have read the comments from the gents above but would like to ask a little more before passing my comment.  You say that your circumstances have changed - can you expnad on this?  Do you mean that your credit profile has deteriorated or your income has decreased significantly?  Please clarify as this will help me to point you in the right direction towards the lenders who would help you.

Brian is correct to say that their are lenders to cater for your Tax Credits income.  I just want to add though, that although a number of lenders do require verification of income, there are other lenders who will allow you to Self-Certify your income.  For example, the applicants state that they earn £x per month and sign to verify.  This is typically for those who are self employed or have income they cannot prove.  In effect, it may be possible not to prove ones income at all by way of wage slips, Tax Credit award letters and such like.

In agreement with the gents, it is advisable to seek professional assistance in your enquiries. 

I disagree with Adrian regarding fees though.  Without brewing up an argument (which some of these forums do instead of aiding peoples queries!), I hope that Adrian will agree that sometimes expertise comes at a cost - and some advisors/arrangers do charge fees legitimately and justifiably, especially in more complex areas of the business.  That said, if you find an advisor who will assist free of charge, then that's a bonus.  But don't be scared off by professional fees for best advise .. if thats what it takes!  After all, we pay our solicitors and accountants for their specialist knowledge and workings!  Just remember though that there is moderation.  Don't let anyone rip you off and certainly avoid anyone who would want to charge more than 1% of the loan amount if you have to pay fees.

Please get back to me on the circumstances and I will be in a better position and more than happy to pass comment in order to aid your query.

Kind regards

Remortgaging is very simple so don't be troubled.

There are two things to do.

1. Find the product that suits you.

Since it sounds like your circumstances may be a bit non standard it may well be frustrating and disheartening to visit banks and building societies because you may find some saying No. That would be a bad shock for me - and I'm a mortgage broker - so for a member of the public I assume it would be worse. I would therefore suggest you speak to several (non fee charging) mortgage brokers. They will know the lenders that will say yes and no and also advise you on the products.

2. The other thing is to do the paperwork - this is easy, the mortgage broker will do it. From there, you'll get a form that needs signing and witnessing by a friend and all the rest happens by itself. The lender should set up the solicitor, the solicitor will deal with the cloing off of your old mortgage and everything else.

Don't worry - just do it and save the money. You should end up with a rate near 6% - below or above depending on the circumstnaces, but that will save you around £2000 per year interest.

Hope that helps

Adrian 

 

 

 

 

Hi,

There are a number of lenders who will take into account"non-earned" income such as tax credits, child benefit etc, but you do need to be able to prove it to them.  These lenders work most often on affordability, so you need to be prepared to give a breakdown of your income and outgoings.  If you were able to afford £1,000pm and you managed to get a fixed deal at about 6.0%, your term would be about 15 years, which is better than 30 years!  Bear in mind that your payment will revert to the SVR after the fixed rate has finished, which could make your monthly payments higher or lower.  Make the monthly payment comfortable, say £900 a month, then make regular overpayments of £100 a month (if the lender permits) - this means if you get stuck with a hefty bill to erpair your car or something similar, you may be less overstretched.

With almost 200 lenders in the marketplace and upwards of 20,000 mortgage deals available each day, you might want to speak to a qualified professional who would do this for you.

Many thanks

Brian

Hi,

i feel that i am paying too much on my mortgage, value of my property is £150,000, and I have £118,000 remaining to pay, I am currently paying £800 a month over 30 yrs on SVR 7.89%, I would love to be able to repay my mortgae as quickly as possible and to do this i would be willing to pay £1000. a month, this is my first property and re-mortgae sounds very scary. This is a joint mortgae with my hubby - our circumstances have changed since applying for the mortgage and we would have to consider our tax credits to afford the repayments. i have found out that i could leave my current lender with a settlement fee of £234, which is good.but where should i start with finding a new lender that will consider our circumstances.