mortgage rejected self employed - any hope?

[novastar7603]

Has anyone had success appealing a declined mortgage? Self employed and ran business very successfully for over 15 years yet lender (HSBC) aren't happy with the covid/lockdown effect even though business remains unaffected. Seems totally unfair. Has taken them 7 weeks of back and forth requesting more info to come to this decision.

I have heard that mortgage brokers are the way to go for self employed. Not done it myself (Yet!).

Yep absolutely go through a broker.

@openallthetime @Pipandmum Sorry I am using a broker :( neglected to mention

We got a mortgage through a company called Freelancer Financials (admittedly pre-Covid) and they were amazing. We run a limited company, not purely freelancing. What was interesting was we went into a Halifax branch and applied for a mortgage and were turned down on the spot but our broker ended up getting our mortgage through them.

The only thing I’d say is watch out for taking their recommended life insurance - it was overpriced and annoying. Otherwise though it was the best £400 we spent during the whole process.

Cross posted with OP update, sorry!

Definitely recommend an IFA ( Independent Financial Advisor). The one that I use (work related) is amazing. Able to access mortgages and deals that aren’t available to the general public. Also has good knowledge of lenders - who is lending / what type of clients they lend to etc etc

Try a local building society. I use Cumberland but it depends which area you live in. They assess each case individually rather than using algorithms - or at least that’s what I was told. I definitely found them really personal to deal with.

I got one recently with Halifax and I had only been self employed (director of ltd company) for 14 months. I went directly to them and got an AIP in minutes through the online site.

I used a company called Super Contractors. Think they've changed their name but got me sorted in no time at all.

I’ve found some big lenders won’t touch me, despite good profits etc - their algorithms aren’t designed to work with non-standard applicants. I would try a broker with experience of SE people and approach other lenders. I’ve had success with Coventry, Halifax and NatWest in the past. Generally not the cheapest, but not far off.

What does your broker say. I’m surprised he pushed you through a high street brand. Maybe you need a broker with better experience. One that’s more suited to dealing with self employed people.

@Mumbum2011 an AIP isn't a full mortgage offer though so it doesn't really mean much.
I'd definitely recommend a decent broker.

I too went through a broker after having been turned down immediately by both the Halifax, who I’d previously had mortgages with, and HSBC, who I bank with. They recommended NatWest from their experience although they said there were other lenders we could try should the NatWest say no. I got my mortgage through them very easily. I was quite surprised really as they didn’t quibble at all.

@Baxdream I know that it's not but it's a good start. I received my full mortgage offer within 7 weeks, although there was some delays due to additional paperwork they wanted.

We are having the same issue... we got no from Coventry and we are their current mortgage customer.. we also got a no from virgin... now trying blue stone.. fingers crossed!!

Leeds Building Society has room for flexibilty.

Have been given a DIP from a different lender now so fingers crossed. Wish us luck!

My husband is self employed (8 years) and we had no problems with Santander via London and Country.

I'm self employed (IT) and didn't have any problem on getting mortgage June 20 from Lloyds and a broker