Mortgages

[Icanflyhigh]

Bear with me on this, might be long and I'm ranty.

DH and I applied for mortgage, jumped through all the usual hoops to be told there is a deal available IF we can increase our deposit to 20%

We currently have just over 5.5% deposit for the property we want to buy. We can't raise another 15% in a month of Sundays.

On paper, it all works. Joint income of almost 70k, but my income comes from 5 different employers and most lenders will only take 2 salaries from one person into account. I also had an IVA which finished successfully in 2021, but again, most lenders want 3 years clear of IVA before committing.

I signed up with credit ladder over 4 years ago and it has recorded every rent payment, on time, in full.

There are no missed payments anywhere and we are in credit on all of our utilities. We don't have credit card debt or loans and have worked hard to save a decent deposit, which we are adding to.

My biggest issue is that the mortgage we would be paying is LESS than our current rent, and we've offered to pay a higher mortgage repayment.

Why is it so damned difficult to buy a house?

Feel so jaded tonight. Had our hearts set on a house we both love and the dream is over.

I feel you OP. We had enough savings to cash buy a flat just before we were married because we couldn't get a mortgage even with a large deposit.

10 years later we've sold our flat, made a large profit and still doubtful we'll get a mortgage. Luckily we're renting a house we like in a nice area but still out money is sitting in a high interest account. I don't know when we'll be able to get a mortgage, maybe when we've saved enough to cash buy but that would take us another 10 years!

Are you always this pompous and pedantic?
OK, it was stupid question based on a batshit premise. OP has confirmed it wouldn't be possible and others have pointed out that it would cause an issue with proof of income if it was possible due to the common requirement for three years accounts.
I'm not the "angry keyboard warrior" here.

I disagree. I've been a homeowner for 25 years after renting for two years. We haven't ever really saved as we have had a holiday each year it doesn't mean the OP can't afford to buy a house especially as she's said the mortgage payments would be less than her rent payments. She'd be paying out less anyway. Also. You still pay insurance on a rental. My house insurance is minimal as is mine and my DHs life insurance.

@Kinnorafron if by "pompous and pedantic" you actually meant "correct", then I accept your apology, even though it is a little bit mealy mouthed, and your contrition seems insincere - why are you still trying to have a little dig by introducing pejorative, loaded phrases like "batshit premise"? It just undermines you and makes you look stupid.

The OP has indeed stated that this suggestion is not an option for her. So let's leave it at that.

As I said, I'm not the angry keyboard warrior here - I'll leave it there as I have hijacked the OPs thread too much already by (correctly) pointing out that your question was ridiculous and based on a totally false and ridiculous premise. It's a shame you can't just accept that but as I am sure you will want the last word I will leave it to your vastly superior self-view to post.

Can I be nosey and ask why you wouldn't get a mortgage. I'm hoping to get one myself towards the end of the year and wondering what could stop me

Can I be nosey and ask why you wouldn't get a mortgage. I'm hoping to get one myself towards the end of the year and wondering what could stop me

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I really feel for you. I live in the SE and rent, even though I have a good salary. As the only income in the house it’s so hard. I do have a deposit now after my ex went to work abroad for a few years so I lived in his house rent free for 3yrs. Just when I’ve finally got a deposit together after 20 odd years of paying very high rent I thought I could at least afford a 2 bed flat, which would be ok as DS is at Uni now and both will have a bedroom at their dads regardless. But now with the interest rate the repayment on what I can borrow is so much more of course than when I first did the sums. So if I buy now I’m risking paying over half my salary in repayment if rates go up. I’ve decided to rent for another year (ex is back so free rent is over) and just see how the economy goes. I could get a 2nd job on weekend and evenings, which I wouldn’t mind doing but I’m going to be paying 40% tax on it. It’s so demoralising. For me it’s buying alone that’s the issue, I have recently started dating someone but very early days where that will go and I really just want to own something! Something to leave my kids.

Some bad decisions when I was much much younger and a financially abusive exH meant I ended up with an IVA and although now complete with an unblemished repayment history for 6 years, the mortgage companies prefer for the IVA to be three years clear and mine is only 18 months. So i can have a mortgage, but not with the 5% deposit we have, they want 20% which we don't have.

Ah I see, so frustrating when you have worked so hard. Fingers crossed that we all get there soon!

Nothing useful to add except to agree what an absolute joke the mortgage and rental market is at the moment.
It's unjust and builds in unfairness. People should be able to afford a home to live in it's genuinely shocking how much it takes, and also how bad the rental market is totally skewed in favour of landlords the majority who do nothing rake in excessive cash, think it's acceptable to raise rents continually and not fix things, yet not allow people to put up pictures. These are people's homes.

Will really appreciate if you could recommend me some.