how important is the property and local area in a house buying process?

Would you believe that a lender can refuse to mortgage a house if they have already offered on too many in the area?... Yes, it really can happen!

Lender does a post code search and they can decide that they have so called ‘overexposure’ in the area and so they will not want to take any more risk there.

Overexposure is often an issue on new build development sites and it is very frustrating! But it may also happen for older properties where lender sees too much risk in the particular area and they simply stop offering there.

There are many aspects related to property where even the most perfect case scenarios can go wrong.

A very important factor is the condition of the house you will be buying, whether it is in a habitable and approvable condition.

Also, if property is of a non-standard construction, or if it is in the area where for example there were mineshafts historically, a lender may refuse to mortgage on it.

Best thing you can do is to discuss the property you are buying with a broker who will have access to lenders offering on even the quirky builds or construction types.

Don’t think the only aspect of your mortgage offer is around your affordability! Property plays an important role here too.

If you have any questions, contact us for help.

Can a lender withdraw my mortgage offer?!

Could a lender refuse a mortgage if it has already been offered?! The answer is Yes!

We might think that once we have a mortgage offered, we can be sure that we will soon be moving into our beautiful new home.

How frustrating it must be when the lender decides to cancel the offer? Why could this happen?

Lenders may do so called post-offer checks to see if we are in the same financial position as at the point of application. They need to be certain that our earnings, income and credit score is satisfactory.

Lender can, therefore, ask for further information at any point and if there is any change in our material position, they can simply withdraw the offer given previously.

That is why it is so important that you do not change jobs or take any new form of borrowing without consultation with your adviser as this might seriously jeopardise your chance of buying.

Also, do pay all your commitments on time and do not enter into any payment holidays.

The rule is simple, if you are not sure about something, always ask the broker. Change of circumstances may not always mean mortgage will not be completed, but it needs to be reported to the lender.

If you have any mortgage related questions, simply contact us and we will be happy to help you.

5% deposit mortgages are returning to the market - good news for buyers!

More positive news for buyers who can only put forward a smaller, 5%, deposit. More and more lenders have announced returning with products designed for this purpose.

So far there are only a couple of lenders willing to lend to buyers with such a small deposit for mortgage and their criteria differ but we can confirm that there are options now available if: - You only have 5 % deposit - You are not furloughed - Your credit score is pretty good and there is no adverse elements on your credit file - You are a First time Buyer - You are happy to go for the rates between 3.99% and 4.5%

It is very positive to see more and more lenders considering return to small deposit mortgages.

We are very busy and taking bookings for availability for at least a week in advance so Book Your Appointment to avoid Disappointment!