Mixed updates from lenders this week as some have increased rates and others have reduced them. Fluctuations do not always correlate to the cost of the funds to the lender. Sometimes a lender will increase rates to stem the flow of business and, where needed, allow them to catch up and bring their service levels back to within manageable levels. A few lenders are over a week behind in processing, but the average seems to be two to three days to turn things around. Speed is a high priority in the current climates.
The most important thing is to provide as much information and paperwork at the outset as possible. If a lender wants three months bank statements showing salary credits and rent or mortgage payment debits, that’s what they want. Two months will not suffice and will cause your application to be delayed! Our world will not ever be paperless, so be prepared to present all items as required and ready to read a lot of small print!
That said, specialist lenders are becoming more accommodating to difficult and complex scenarios. This can be on the residential side, where family may act as guarantors and allow a charge on their property in addition to the security property. Or, it could be a non standard construction type property (as seen on TV), that may not be suited to a high street lender. Or it could be where a landlord rents out a property to a member of their own family. This is classed as a ‘regulated buy to let’ and as such, following regulation changes last year, only a few lenders will consider these mortgage applications types at present.
Others include mortgages for the over 65s / lending in to retirement (life doesn’t end at 65!). Or development projects from first timers to experienced builders. Many of these are happening in the local area where empty office blocks are being converted in to flats, etc.
Whatever your requirements, there’s probably a lender out there willing to consider your scenario.