Hi everyone,

 

My fiancée and I have struggled to secure a mortgage for about 2 months. It is for a plot of land with a Class Q for a barn conversion.

 

Because the seller wanted to sell quickly and because we wanted to get it quickly as well, we first applied for a bridging loan with the idea of paying it back by remortgaging our current property. 

 

The first bridging loan got rejected because it is our first project.

The second bridging loan got rejected because the valuation report came back lower than expected. (the valuer missed 1000 square meters of the land, but when we told him about that, his reply was that it would not make a big difference).

 

We then applied for a remortgage straight away. 

After 4 weeks of our file being with the underwriter and about 1.000.000 questions and documents later, we were told yesterday that the remortgage was rejected because it is our first project and if anything was to go wrong, we could be in financial difficulties.

 

This really baffles me. They knew from day 1 that it was our first self-build, but took our money and made us pay for a valuation anyhow. But more importantly, they kept on asking questions and documents, which made us think that they were really considering our financing. 

We are thinking about appealing their decision, but even our mortgage broker doesn't think that it will change anything. 
He told us that with any other underwriter, we would have had our offer, but we had the pickiest lady on earth.

 

We are a bit lost now and unsure what to try next.

 

Any advice would be greatly appreciated.

 

Thanks 

Can't your broker submit an application to other lenders?  Just because one lender rejected you application, doesn't mean that all lenders will.

My fiancée is self-employed and I am disabled ... we are buying a barn to convert and trying to use our current property to get some equity. 

 

Our file is not straight forward and we don't match the criteria for a lot of lenders. 

 

I guess that our mortgage broker is going to try with another lender ... but the seller is very impatient and we don't want to loose the property.

The One thing to rememberis that what you are buying has not valued up to what you have agreed to pay. Is the seller aware that the valuation did not stack up ?

33 minutes ago, mikeyforgey said:

My fiancée is self-employed and I am disabled ... we are buying a barn to convert and trying to use our current property to get some equity. 

 

Our file is not straight forward and we don't match the criteria for a lot of lenders. 

 

I guess that our mortgage broker is going to try with another lender ... but the seller is very impatient and we don't want to loose the property.

It’s probably the self employed bit that is spooking them more than your first project Lenders hate self employed 

Do you have have 2 profiles, being @MrSearching and @mikeyforgey?  It can make posts quite confusing.  @MrSearching last posted that they had bought a property at auction and could not get the finance and has posted nothing since 12 June.  Maybe @Admin will look at this.

This is for a self-build mortgage? I suggest (a) talking to a good broker, and (b) persisting.

 

For anyone with slightly out of the ordinary circumstances, the standard mortgage market is hard work. There may well be specialist or niche lenders who will work for you.

 

My place, which I've been in for nearly 30 years, was a new build but had no NHBC certificate as the builder had gone bust. And I was self employed. Eventually, I found a lender that worked.

2 hours ago, nod said:

It’s probably the self employed bit that is spooking them more than your first project Lenders hate self employed 

That's what I was thinking ... But not much that can be done about that unfortunately.

 

Our mortgage broker will try another lender that works with self-employed and see what happens then ... 

3 hours ago, Mr Punter said:

Do you have have 2 profiles, being @MrSearching and @mikeyforgey?  It can make posts quite confusing.  @MrSearching last posted that they had bought a property at auction and could not get the finance and has posted nothing since 12 June.  Maybe @Admin will look at this.

 

This has been passed to membership services for investigation and, if needed, action.

2 hours ago, Alan Ambrose said:

This is for a self-build mortgage? I suggest (a) talking to a good broker, and (b) persisting.

 

For anyone with slightly out of the ordinary circumstances, the standard mortgage market is hard work. There may well be specialist or niche lenders who will work for you.

 

My place, which I've been in for nearly 30 years, was a new build but had no NHBC certificate as the builder had gone bust. And I was self employed. Eventually, I found a lender that worked.

I have full trust in our mortgage broker and I am sure that he will find the right lender for us ... the only problem is that the seller is really trying to hurry us up and I am worried that he will lose his patience ... 

On the other hand, the property is not your standard property so he might struggle to get another offer