In the course of the mortgage journey, individuals often encounter obstacles that can lead to the denial of a mortgage in Scunthorpe. Overcoming these challenges, especially in complex situations, can pose a significant challenge.

Hurdles We’ve Seen As a Mortgage Advisor in Scunthorpe

At Scunthorpemoneyman, our team has confronted various mortgage hurdles, particularly with first time buyers or home movers in Scunthorpe dealing with intricate cases.

With over 20 years of industry experience, we’ve navigated through challenging situations, equipping us with the expertise to handle them. In rare instances of encountering unprecedented situations, our team dedicates itself to overcoming them for mortgage success.

If you’re a first time buyer in Scunthorpe, our assistance can bridge the gap in your understanding of these hurdles.

With an extensive list of hurdles faced by many during the mortgage process, here are a few common challenges applicants often confront:

Common Home Buying Hurdles in Scunthorpe

Childcare Costs

Having children might not result in a mortgage rejection, but it could slightly impact your offer, potentially lowering it. Lenders assess whether you can manage mortgage payments alongside existing expenses, including childcare costs, which can be substantial.

Childcare expenses are a significant consideration for lenders, akin to loans or hire purchase costs. While having children may lead to a slightly lower offer, some lenders may take child benefits into account if you receive tax credits.

Divorce/Separation

If a relationship ends, particularly when a joint mortgage is involved, financial complications are likely. Being financially linked to someone else may pose challenges for lenders, as managing different sets of mortgage payments could become overwhelming.

When faced with such situations, our team often receives queries related to removing names from mortgages or dealing with joint mortgage issues.

These scenarios can be complex, but our expert mortgage brokers in Scunthorpe strive to provide solutions, aiming to alleviate stress during challenging times.

Benefit Income

Benefit income can elicit mixed responses from lenders. Some may consider child tax credits, working tax credits, and disability allowances as part of income. For detailed information on mortgage and benefit income, individuals can reach out to our team.

Our mortgage advisors in Scunthorpe assess individual situations, matching applicants with lenders who consider benefit income, aiming for accuracy from the start.

New Job

Transitioning to a new job with a higher salary might not automatically increase mortgage approval chances. Probationary periods that often come with new jobs can introduce uncertainty.

Lenders may require job security before approving a mortgage, and employment history, including any gaps, is considered. While some lenders may accept applicants with a newly signed employment contract, work patterns and gaps in employment can impact the application.

Evidencing a Deposit for a Mortgage in Scunthorpe

Every mortgage lender and broker must legally verify the source of the borrower’s deposit funds for any purchase, as a measure against money laundering.

Regardless of the deposit’s origin—whether savings, premium bonds, the sale of a property, a gift from family or friends, funds from overseas, or a personal loan—a documented trail is required to demonstrate the lawful accumulation of funds.

Solicitors and estate agents may also request evidence of the deposit.

Date Last Edited: January 24, 2024