Hi Steve, It sounds like an interesting product. what rental stress does the lender use? And is it different for different loans to value? Also how does it work if I have got different fixed rate mortgages expiring 8 months apart?
Hi Mike Stress testing is based on product : 2yr fix upto 75% is pay rate +2% or 5.5% - minimum cover 125% or 110 including use of surplus income 5yr fix is pay rate or 4% whichever is the higher - 145k or 120% including use of surplus income I don't fully understand the final question as two applications many months apart would normally be separate transactions. it may be easier to chat it through with someone - feel free to call and ask for Helen or email sales@promisemoney.co.uk
Hi Steve,
It sounds like an interesting product.
what rental stress does the lender use? And is it different for different loans to value?
Also how does it work if I have got different fixed rate mortgages expiring 8 months apart?
Hi Mike
Stress testing is based on product :
2yr fix upto 75% is pay rate +2% or 5.5% - minimum cover 125% or 110 including use of surplus income
5yr fix is pay rate or 4% whichever is the higher - 145k or 120% including use of surplus income
I don't fully understand the final question as two applications many months apart would normally be separate transactions.
it may be easier to chat it through with someone - feel free to call and ask for Helen or email sales@promisemoney.co.uk