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If you fail one mortgage provider's affordability test will you fail them all?

(13 Posts)
CityDweller Mon 10-Aug-15 16:29:24

we just failed our mortgage provider's affordability 'test'. I'm gobsmacked, because we've got a very small LTV (21%) and we have a stocks and shares portfolio that is worth more than the mortgage we're asking for. We failed affordability due to childcare costs, apparently (not high - about £750 a month).

This is also about a month down the line of the process - they checked all this stuff before. Provider is the Post Office and they've been inept and slow throughout the whole process. I'm furious to say the least. I'm also confused, but their underwriters won't budget.

So, my question is - if we've failed their affordability test will we fail all other providers?

AutumnDragon Mon 10-Aug-15 16:37:37

Not necessarily. Your best bet is to find a broker (preferably one recommended to you, if not try VouchedFor or Unbiased). They have access to a much wider panel and will be able to access their criteria up front.

CityDweller Mon 10-Aug-15 17:01:17

Ok thanks. That's somewhat reassuring. Although I expect in the interim of finding a broker, applying, having another valuation done, etc, we'll lose the house we're trying to buy. So fucking annoying. I had a bad feeling about the Post Office from the start - labyrinthine application process, poor communication, not acknowledging paperwork I sent in, etc.

AutumnDragon Mon 10-Aug-15 18:12:47

A good broker can turn around a decision in principle very quickly so don't lose hope yet.

CityDweller Mon 10-Aug-15 18:23:50

Any tips on how to find a 'good broker'? I did talk to London & Country a while ago (before I went to Post Office directly), but it's impossible to get through to the original person I spoke to.

I'm looking on 'unbiased' right now and will contact a random selection. Any other tips?

ILoveMyMonkey Mon 10-Aug-15 18:41:22

Nationwide turned us down based on affordability due to childcare, our broker went to Natwest (who don't take childcare into account when factoring affordability so give them a try) and got us £30K more no probs.

ILoveMyMonkey Mon 10-Aug-15 18:42:36

Ps we have used the independent mortgage advise bureau 3 times now and they're excellent

CityDweller Mon 10-Aug-15 19:04:28

Thanks for the recommendation and the insider tip ILoveMyMonkey

ILoveMyMonkey Mon 10-Aug-15 19:08:39

Good luck, all these new tightened rules are a nightmare.

Nuffbunny Mon 10-Aug-15 19:24:04

Message deleted by MNHQ. Here's a link to our Talk Guidelines.

CrapBag Mon 10-Aug-15 19:54:09

Nationwide were only willing to lend us under 40k when they previously said 105k. They were ridiculous as we knew we could easily afford it and it was much less than our rent/mortgage that we had been paying.

We told them no thanks, went through London and Country and Halifax approved us for 60k straight away. Our LTV was pretty good too, something like 45% so Nationwide lost themselves their existing customers there (we already had a mortgage with them that we had just paid off early!).

Try somewhere else. I think with the very tight rules, there are many people it's happened to, although I know childcare is a huge factor that they take into account and your is a large bill. Speak to someone else at L&C. I found them to be fantastic.

Bearbehind Mon 10-Aug-15 21:15:18

nuffbunny I'm pretty sure you are not allowed to tout for business on these forums and I also thought the FCA prohibited this kind of soliciting for mortgage lending too- it's not the only thread you've done this on hmm

CityDweller Mon 10-Aug-15 21:39:22

CrapBag our childcare costs aren't that high in comparison to our income.

But yes, rules are clearly much tighter now then when we last applied. Fair enough, I suppose.

I'll add L&C to the list of brokers I'm going to call tomorrow, but the fact that I've never once been able to get through to the first broker I spoke to a few months ago has put me off. I need someone who can do this quickly, otherwise we'll probably lose the house we're hoping to buy.

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