Mortgage fraud/ bridging loan?

[NatureBeetle]

I have recently sold my house of three years and moved into rented accommodation as my circumstances changed and I moved out of the area.

The first mortgage on the property was a 2 year fixed and I moved to another 2 year fixed after this, meaning I left that mortgage one year in and paid the relevant fees to leave.

I am now looking at buying another house in the new area but have been advised that the banks will not look favourably on me as I left the last mortgage early and as I made some money/ did some updating to the property that I would only be able to get a bridging loan or commercial mortgage for my next property.

It has been insinuated that I used part of the second two year fixed mortgage fraudulently as a short term loan to fund my renovation business (I decorated and updated the kitchen over 3 years) .

Is this advice correct? I am so worried that I will be seen as a bad option for banks and I obviously don't want a bridging loan instead of a mortgage for my home!

'Insinuated'

Have you actually been to the lenders to seek another mortgage?

Absolute load of rubbish, who on earth has advised you that???

That sounds like a load of crap. Did you live in the house at the time?

Putting a kitchen in and doing a bit of decorating in a house that you live in is what many people do normally, not a 'renovation business'. In fact you're often seen as a bit odd in some circles if you don't rush to put in new kitchens and bathrooms and decorate everything in sight on moving in to a new home.

And people's circumstances change so sometimes they have to leave earlier than planned, which is why it is possible to get out of a fixed rate deal by paying ripoff fees.

If you had been running a 'renovation business' it would have been a bit stupid to take a 2 year fixed rate deal when you would have planned/hoped/needed to flip the property faster than that.