Mortgage Market Report – Summer 2018

HOT MORTGAGE TOPICS 2018 By Chris Morgan

Even the most suitable “High Street” mortgages are difficult to place with lenders at this moment in time. One major high street lender I’ve been dealing with recently has imposed a five day turnaround on all documents submitted as proof of income and affordability. Every question and query raised then take’s another five days to complete, which of course is ridiculous and makes obtaining finance very difficult for applicants.

It would almost seem they don’t really want to lend any money at all, even to customers with a large 25% deposit, with a complete set of pay slips and a good credit record. Although this is frustrating it’s a clear indication that High Street lenders are still protecting their balance sheets. They simply do not have the capital adequacy to change their lending policy to the benefit of consumers.

Unusual Mortgages are experts at finding Mortgages for consumers who have been turned down by High Street lenders. In the previous market reports we have talked about Adverse Credit, Buy to Let, Returning Expats, Debt Consolidation, Right to Buy and Downward Trend in Income, Fixed Contract Income, Moving Employment, Self-Employment.

Here’s the latest Hot Mortgage Topics …

Proof of Income,

All mortgage lenders now require an applicant to prove their income and affordability, before advancing a formal mortgage offer. The amount of referencing and type of proof of income varies enormously between each applicant and depends on their employment status. Employees are almost certainly going to be asked to produce their pay slips and self-employed people will be required to produce company accounts and/or tax returns.

Employment Contracts

Employees are almost certainly going to be asked to provide a copy of their employment contract and in particular any details of short term contracts. Some lenders have very specific criteria relating to second income and also contractor incomes, so it’s best to get specialist advice around this issue because not all lenders treat these issues the same and criteria varies widely.

Financial Referencing

Self Employed people are almost certainly going to be asked for their company accounts and copies of their tax returns. Most lenders will require sight of an applicant’s SA302’s which will show the amount of income declared and the tax actually paid to the Inland Revenue in that year. If an applicant is unable to produce paper documents for a mortgage application then most lenders will be able to send an income reference to be completed by an accountant (self-employed) or to an employer (employee).

All mortgages are now agreed after careful assessment of Income and Afordability. In the next column we will look at Contractor Income, Director Status and Dividend Income.

15 Minute Mortgage Assessment

Unusual Mortgages offer a 15 minute free mortgage assessment over the phone for anyone that has been turned down for a mortgage elsewhere. We will confirm if the decision you were given is correct and assess your options across 70 lenders on our manual research list, from which we tailor bespoke solutions for our clients.

If you have been turned down for a mortgage or are worried about approaching lenders due to the way you have been treated in the past, why not give us a call. Within 15 minutes you will know if your hopes and aspirations are a reality, with a sound opinion from the most experienced mortgage broker in the United Kingdom at placing “Unusual Mortgages”.

If you require more information on Complex Mortgages, Multiples Mortgages, Buy to let, Self Employed or Adverse Credit Mortgages  you can contact Unusual Mortgages onUK 0845 474 3075 or International +44 1404 45397, email at enquiries@unusualmortgages.co.uk

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  • About Us

    Unusual Mortgages are Independent Mortgage Advisers who specialise in arranging Complex Mortgages. Our lead financial adviser Chris Morgan has 30 years of experience in Banking, Finance and Mortgage Advice.

    He is a former Financial Adviser of the Year, Barclays Young Business Person of the Year and finalist in the FT Adviser Mortgage Adviser of the Year contest. He has also won a host of other community and industry awards for his consumer facing work within the finance industry.

    Chris has recently been shortlisted at The European Diversity Awards for Barclays Campaigner of Year. This is for his work as a Diversity Leader within the UK Financial Services Industry.

  • Complex Mortgage Service

    Unusual Mortgages offers highly experienced and expert advice, from an industry leading financial adviser in return for reasonable fixed arrangement fees. On a number of occasions we have met clients who were quoted elsewhere, broker arrangement fees of between 1% and 1.5% of the mortgage, which can equate to literally thousands of pounds of extra fees.

    We have developed a business model and professional advice process that allows us to offer Independent Mortgage Advice at highly competitive fixed broker fees. which are extremely low in comparison to other fee based brokers.

    Unusual Mortgages have recently saved one particular client literally thousands of pounds in arrangement fees and total interest payable over the term of his loan.

    These are the main “Complex Mortgage” areas which we can offer our advice in return for Set Fees.

    Adverse Credit Mortgages, Buy to Let Mortgages, Complex Mortgages, Contractor Mortgages, Debt Consolidation, Development Finance, Downward Trend Income, Expatriate Mortgages, Landlord Mortgages, Let to Buy Mortgages, Mortgage Term Ending, Multiple Mortgages, Mortgage Rejected, Professional Mortgages, Re Mortgages, Returning to the UK, Right To Buy, Second Home Finance, Self Employed Mortgages.

    We are especially experienced at assisting people to find mortgages with Arrears, Adverse Credit, Bankruptcy Defaults, County Court Judgement's (CCJ's) and Late Payments on their Credit Record.

    *PLEASE NOTE

    Authorised and regulated by The Financial Conduct Authority. Please note most Buy to Let mortgages are not regulated by The Financial Conduct Authority. Fees will apply for mortgage advice. We charge a set fee of between £795 and £995 payable on application, dependent on the amount of work involved, the type of mortgage you are applying for and any commission we receive from the lender on completion of your mortgage. Please contact us for a specific quotation.

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