Visiting a NatWest Mortgage Advisor

NatWest logoWe are first time buyers and wanted to buy our first home together so made an appointment with our bank NatWest to see the mortgage adviser.

We went to see them on a Saturday morning as this was the only convenient time for us as we both had full time jobs and could not afford to take time off work.

When we met with them they checked our income and advised us that we were good for a mortgage and they would only be to glad to arrange this on our behalf.

We left there really excited that our bank was going to lend us the money to buy our first home together.

We then saw the house of our dreams and put in an offer and it was accepted. We then contacted the bank to arrange an appointment so that we could put in our mortgage application. We were told it would be 4 weeks before we could see a mortgage adviser.

This was going to be to long a time to wait as the people we were buying off needed to move fast on a house they were buying.

My Dad knew a mortgage broker who would probably be able to help us get our mortgage arranged so we contacted them. I told him that we had been to see our bank and that they had told us we were good for a mortgage.

The mortgage broker advised that we could still use the NatWest and he could deal with it on our behalf.

We put forward our application and were surprised and shocked when the NatWest advised our broker that they could not proceed with our application after initially saying they would lend us the money.

Our Mortgage broker contacted the NatWest who advised that we had failed the credit score and they were not able to help with the application.

After further consultation with our Broker regarding how we needed to proceed he advised us to get our credit reports which we did.

It appeared that my partner had two defaults registered against his name from a mobile phone company.

We were bitterly disappointed that the NatWest had told us we could borrow the money and then changed their minds. It appears that what in fact the NatWest had done was just work out if our income was enough to allow us to borrow the money and not make proper checks as to whether we were credit worthy.

This left us in a difficult position regarding purchasing our dream property.

Fortunately for us our Mortgage Broker was able to research the whole of the mortgage market on our behalf taking into account our full financial & personal circumstance and was able to find us an alternative mortgage with a building society.

He was able to deal with all the paperwork on our behalf and within 2 weeks had a mortgage offer for us, he also recommended a solicitor to us.

We have now moved into our dream home and would always advise that you seek help from a mortgage broker to arrange your mortgage as they can look at all the deals in the market place and take away all the stress of trying to do it yourself through the bank yourself.

About Mortgage Terms

3 people completing a business dealWHAT DOES ‘GUIDE PRICE’ MEAN ?

A Guide Price is normally connected with a property that will be sold at Auction – subsequently the Auctioneer has publicized a value that they feel is the base the property ought to offer for – as a rule in all actuality properties at closeout for the most part offer for significantly more than their Guide Price and is a method for pulling in buyers to the Auction.

WHAT’S A ‘FIXED PRICE’ ?

At the point when properties are publicized at a settled value this implies the vender ( merchant ) is searching at that cost and not hoping to arrange/acknowledge a lower figure – thusly if the asking cost is £ 200,000 that is the thing that the dealer needs – it doesn’t stop you however offering less.

WHAT DOES ‘OIRO’ MEAN ?

OIRO implies ” Offers in the Region Of ” along these lines if a property is promoted at OIRO £ 200,000 the merchant is searching for a figure around this sum yet would demonstrate that they would acknowledge a lower figure – for instance £ 190,000 or £ 195,000 so constantly worth beginning off with a lower offer.

WHAT DOES ‘OIEO’ MEAN ?

OIEO implies ” Offers in Excess Of ” hence if a property is promoted as OIEO £200,000 the vender is searching for offers over this figure – for instance £ 210,000/£215,000 and so forth – again through there is no motivation behind why not to offer a sum underneath the £ 200,000.

WHAT DOES ‘CORPORATE SALE’ MEAN ?

At the point when a property is publicized as a Corporate Sale it generally implies that the property has been repossessed by a Bank or Building Society as the home loan customer has defaulted on the home loan installments and the moneylender has designated an organization to offer the property to reimburse the home loan/advance extraordinary on it.

Corporate property deals are normally done by means of an Estate Agency, the primary weakness is that you need to experience the Estate Agent to arrange the cost with the organization and this can be a moderate procedure and even once your offer has been acknowledged the property will stay available until you trade contracts – along these lines you could have paid for a valuation, specialists look charges and moneylenders administrator expenses and going to trade when the corporate organization acknowledges a higher offer from another person.

MAKING OFFERS

Continuously think about making as a lower offer whatever the cost or condition put on it – begin low – you can simply build the offer at a later date.

I Haven’t Got A Perfect Credit Record

Bad credit scoreUnfortunately people may have problems with the credit profile such as defaults on their credit payments, County Court Judgements, Bankruptcy, Individual Voluntary Arrangements or even repossession.

This can mean that it will be more difficult to get credit and in some cases not able to get credit at all.

When looking to obtain a mortgage this will be one of the main aspect of the application that a lender will look at.

It is important for the lender to be able to establish that you are able to demonstrate that you have been able to pay previous credit agreements and maintain your credit accounts satisfactorily.

However, this is not the case for a variety of circumstances, loss of job, ill health, divorce etc and it is at this point that people can fall into arrears with their credit commitments.

So what if I have had credit problems in the past ?

Dependent upon when you have had problems and what those problems were with your credit may determine how lenders will view your situation when applying for a mortgage.

If for example your problems were within the last 2 years the chance of getting credit for a mortgage are very slim. Most high street lender will not be able to offer a mortgage if this is the situation.

There are however lenders who specialise with mortgage products for people who are not able to match the strict criteria of mainstream lenders.

It is fair to say that the interest rates may not be as competitive as High Street lenders but they will generally be able to offer a mortgage dependent upon what your circumstances are and the severity of your past credit problems.

These types of lenders generally will want you to have a more substantial deposit if purchasing a property or if remortgaging a higher percentage of equity in the property.

These types of mortgage are generally not available from the high street and it is at this point you may need to seek the advice of a professional mortgage broker.

Mortgage brokers generally have access to these kind of mortgage products and by consulting with them and explaining your situation they will normally advise what mortgages would be available to you.

This can save you alot of time and effort trying to find the lender who may lend to you on your own.

There are some mortgage brokers who specialise in this area of mortgage advice and seeking their help would be extremely beneficial.