Mortgage Help

57
Posted 4th May
I am a first time buyer and have seen a house I am hopeful of putting an offer in for. I do gamble a bit, maybe £40 a week but haven’t gambled in the last 4 weeks. I know you are usually asked for 3 months of statements when applying for a mortgage but is there any mortgage lenders that don’t ask for it? I have a credit score of 590 and have never missed a payment or been overdrawn. My partner doesn’t gamble and has good credit history. I am worried incase I am declined a mortgage and miss out on this property.
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Hi - I remember having this same concern, 3 years ago (when we bought our current house).

In brief, unless things have changed massively with the COVID-19 situation, you should be absolutely fine.

Their underwriters understand that we all have lives and interests, so unless it's stupid (hundreds of £ per month), and you generally manage your finances well - and have the available funds for the mortgage payments, you should be fine.

Good luck
I remember worrying the same when we applied for our mortgage. Baring in mind my wife has no credit history at all and dragged mine down we still got a mortgage with a decent rate and my statements had a few Betfair transactions on them,you'll be fine.
Don’t tell them you gamble and quit it please
Regarding the house the market is very quite and mine is on sale too and i don’t have much hope for a few months.
Your seller is lucky to have a 1st time buyer at this point so go for it
Misslovely04/05/2020 20:00

Don’t tell them you gamble and quit it please Regarding the house the m …Don’t tell them you gamble and quit it please Regarding the house the market is very quite and mine is on sale too and i don’t have much hope for a few months. Your seller is lucky to have a 1st time buyer at this point so go for it


How would you go about not telling them when they check statements?

I'm guessing the OP gambles online/app so they'll see the deposits
A bank statement is supposed to show a total of the account no single transaction. It's no-ones business where you spend your money.
Buckyball04/05/2020 20:04

A bank statement is supposed to show a total of the account no single …A bank statement is supposed to show a total of the account no single transaction. It's no-ones business where you spend your money.


Yet they still want the full transactional history and will not accept just the title pages.
Andy04/05/2020 19:49

Hi - I remember having this same concern, 3 years ago (when we bought our …Hi - I remember having this same concern, 3 years ago (when we bought our current house).In brief, unless things have changed massively with the COVID-19 situation, you should be absolutely fine.Their underwriters understand that we all have lives and interests, so unless it's stupid (hundreds of £ per month), and you generally manage your finances well - and have the available funds for the mortgage payments, you should be fine.Good luck



Thank you for your help! I counted it up there and it’s just over £200 of deposits this last 3 months. May seem like a lot but it’s nothing I can afford to lose. But I’m gonna stop if from now online and only gamble the odd time in the shop using cash.
I don’t think the gambling is an issue, I think it’s more about how much you have coming in and how much debt you have going out. The gambling is your personal choice, I love a bit of roulette personally!

Houses are selling, so if you have a house that you like and can get a mortgage offer then go for it!
I put my house on the market in Feb, and had a full asking price offer before it had even gone live on Rightmove! Sadly the chap pulled out a week or so ago as he had cold feet but today I’ve received an offer £2k below the asking price without the chap even seeing the house! Things will pick up quickly so don’t miss out!
Edited by: "shelliebish" 4th May
anyone looking at your bank statements and seeing gambling debits will certainly look closer, they will not be able to help this instinctive reaction. however if you are never in debit and you have a good credit history they will put it down to entertainment as some people do gamble simply for the entertainment value. it is not usual for people who gamble to be able to control their gambling but there are people who gamble for the fun of it.

and certainly if they see gambling debits that never get out of hand then they will assume that you don't have a gambling problem. (yet (lol))
The mortgage provider wants evidence that you can afford to repay the mortgage. Every time they lend money they are taking a risk, so they want to assure themselves that the risk is worth taking. As long as your bank account shows that you can afford the (potential) monthly payments, that you're not spending more than you earn, that you're not reckless with your money then you should be OK.
If you're really worried then you can always ask your bank for an "Agreement in Principle" (basically, how much they would be willing to lend you if you were to decide to apply for a mortgage). If they give you a figure then you know you're OK. If they won't give you a figure then you can ask them why.
Gambling is regarded as a legitimate expense. Else anyone that pays £2.50 on the lottery each week would not get a mortgage.

I wouldn't worry about it.
If they saw the Red Lion Pub spend of £40 per week on your statement are they now dealing with an alcoholic? Lenders look for affordabilty confirmation not how you spend your money. £40 per week gambling is wiser than £40 per week on cigarettes
Edited by: "OllieSt" 4th May
mutley104/05/2020 20:42

anyone looking at your bank statements and seeing gambling debits will …anyone looking at your bank statements and seeing gambling debits will certainly look closer, they will not be able to help this instinctive reaction. however if you are never in debit and you have a good credit history they will put it down to entertainment as some people do gamble simply for the entertainment value. it is not usual for people who gamble to be able to control their gambling but there are people who gamble for the fun of it.and certainly if they see gambling debits that never get out of hand then they will assume that you don't have a gambling problem. (yet (lol))


I gamble for entertainment as I was a croupier when I was (a lot) younger so for me it’s just a bit of fun and a trip down memory lane!
Thanks everyone. You’ve made me worry as less about it. Think I’m going to put my first ever offer in all be it 10k less than the asking price and I am willing to go a bit more if needed. Just don’t want to miss out as whilst the house needs improvements it has a lot of potential!
George_Williams04/05/2020 20:53

Thanks everyone. You’ve made me worry as less about it. Think I’m going to …Thanks everyone. You’ve made me worry as less about it. Think I’m going to put my first ever offer in all be it 10k less than the asking price and I am willing to go a bit more if needed. Just don’t want to miss out as whilst the house needs improvements it has a lot of potential!



Do yourself a favour. If the house needs improvement put your first offer in at 20% below. If they reject you can go up from there & sort a deal within a day but I wouldn't just go £10k below as a first offer. Buyers market at the moment.
George_Williams04/05/2020 20:53

Thanks everyone. You’ve made me worry as less about it. Think I’m going to …Thanks everyone. You’ve made me worry as less about it. Think I’m going to put my first ever offer in all be it 10k less than the asking price and I am willing to go a bit more if needed. Just don’t want to miss out as whilst the house needs improvements it has a lot of potential!


Good luck... I hope you get the house and have lots of fun doing it up!
Why do you have your gambling transactions coming off your main account? Use Revolut.
George_Williams04/05/2020 20:53

Thanks everyone. You’ve made me worry as less about it. Think I’m going to …Thanks everyone. You’ve made me worry as less about it. Think I’m going to put my first ever offer in all be it 10k less than the asking price and I am willing to go a bit more if needed. Just don’t want to miss out as whilst the house needs improvements it has a lot of potential!


DONT go £10k lower than the price! That would show me you really want the property and are just trying to get it a little cheaper to cover your fees. Hit them with an offer 20% lower and round it down and then say you are ready to go when you submit it but your search still continues and you will continue to view properties once the lockdown is relaxed. The when they decline, say you are going to increase in £1000 increments unless the seller wants to make you an offer. I have done this on every property, never paid full price and always got it for more than 10% less. It takes balls but you feel great when it works. Good luck.
ArcadeAssassin04/05/2020 21:10

DONT go £10k lower than the price! That would show me you really want the …DONT go £10k lower than the price! That would show me you really want the property and are just trying to get it a little cheaper to cover your fees. Hit them with an offer 20% lower and round it down and then say you are ready to go when you submit it but your search still continues and you will continue to view properties once the lockdown is relaxed. The when they decline, say you are going to increase in £1000 increments unless the seller wants to make you an offer. I have done this on every property, never paid full price and always got it for more than 10% less. It takes balls but you feel great when it works. Good luck.


Wow 20%! That’s 20 year old house prices and who’s gonna loose house price investment in that
tempt04/05/2020 21:09

Why do you have your gambling transactions coming off your main account? …Why do you have your gambling transactions coming off your main account? Use Revolut.


Just use Apple Pay on my phone that is linked to my main bank card. But from now on no more online gambling.
Misslovely04/05/2020 21:37

Wow 20%! That’s 20 year old house prices and who’s gonna loose house price …Wow 20%! That’s 20 year old house prices and who’s gonna loose house price investment in that


It needs repair. The cost of updating electrics, bathrooms, kitchens etc is going to far outweigh £10K
Just to shock yourself! do a mortgage calculation paying £173 a month more off it and see how many years you can pay it off earlier! That’s the amount you gamble each month.
Edited by: "Wadda" 4th May
Willy_Wonka04/05/2020 21:43

It needs repair. The cost of updating electrics, bathrooms, kitchens etc …It needs repair. The cost of updating electrics, bathrooms, kitchens etc is going to far outweigh £10K


I would say £5000 tops for upgrades
Pay by PayPal on the gambling site then it only comes up as a PayPal transaction. I know this may not be of much use now but worth remembering when you remortgage for a better deal 3 years down the line
Buckyball04/05/2020 20:04

A bank statement is supposed to show a total of the account no single …A bank statement is supposed to show a total of the account no single transaction. It's no-ones business where you spend your money.


Actually it is a banks/lenders business where he spends his money because if they see somebody has a problem with gambling then they are very unlikely to lend somebody money. Would you lend someone money without knowing everything about them financially?
I wouldn't say the amount you spend is something they will be bothered about. You sound like a sensible gambler (yes they do exist) so you shouldn't have a problem
Misslovely04/05/2020 21:37

Wow 20%! That’s 20 year old house prices and who’s gonna loose house price …Wow 20%! That’s 20 year old house prices and who’s gonna loose house price investment in that


I never actually get it for 20% less and I suppose it depends where you are in the country but I’ve purchased absolute pits for 18% less and houses you could move right into for 12% less. My point was that offer £10k less is pointless and just a sign you really want it but feel the need to get a little off for you’re own justification that you got a deal.
Wouldn't worry about it, I bought our house a few years back and I was heavily in to matched betting, 5 figure sums going in and out some months. Other than the mortgage broker asking whats the secret, I didn't face any issues.
The chrome extension property tracker is really useful when looking at houses.
George_Williams04/05/2020 21:47

I would say £5000 tops for upgrades



£5000 in the scheme of house repairs is nothing. Its a new bathroom tops.
Willy_Wonka04/05/2020 22:06

£5000 in the scheme of house repairs is nothing. Its a new bathroom tops.



The house that we’re buying is a deceased estate so needs a new kitchen, 2 bathrooms, cloakroom and redecorating... thankfully it has double glazing, new flooring throughout and central heating but even so we’ve budgeted £20-25k all in.
Edited by: "shelliebish" 4th May
Buckyball04/05/2020 20:04

A bank statement is supposed to show a total of the account no single …A bank statement is supposed to show a total of the account no single transaction. It's no-ones business where you spend your money.


If you go to someone asking to borrow money its entirely their business to check where you spend your money.
If both parties wanted a quick sale, should I start low or have a more realistic offer? All be it still considerably below the asking price.
If you want it that much do not go making such a low offer or you could lose it. Other people might be interested and just make a more realistic offer. Obviously, we don't know the asking price, so impossible to compare 20% off, but if the seller is hoping to buy something else then they are not likely to accept such a low offer.

£5,000 is not a very big budget if the house needs work, and don't forget the actual costs involved in buying. Good luck! Also you really should get a mortgage offer in place before making an offer. The estate agents will ask for proof of 'funds'.
Edited by: "JimboParrot" 5th May
George_Williams04/05/2020 23:09

If both parties wanted a quick sale, should I start low or have a more …If both parties wanted a quick sale, should I start low or have a more realistic offer? All be it still considerably below the asking price.


Just don't lose the house if you really want it for £5k.

Over a 25 year mortgage that works out at £200 a year less so it's not like you'll even have it in your bank to use straight away.
George_Williams04/05/2020 23:09

If both parties wanted a quick sale, should I start low or have a more …If both parties wanted a quick sale, should I start low or have a more realistic offer? All be it still considerably below the asking price.


Always go in lower, especially when there’s work to be done on the house... but not so low that they won’t take you seriously and be insulted by it! The one we’re buying was on at £370k and we’ve negotiated £347,500 after starting our offer at £342k... look at Zoopla to see what similar houses have sold for, what they’re worth now and how much past sale prices dropped from their original asking price. Ours is worth between £403k - £444k so the price we’re buying for (even allowing for the work) is a good one!
PS) With my current house that had an offer yesterday, the asking price is £200k and I’ve had 3 different offers at £195k, £198k (yesterday) and the full £200k (accepted but he later got cold feet)
Edited by: "shelliebish" 5th May
UPDATE

Made an offer this morning for 118k (offers around 130k was asking price) and was told immediately by the EA that they will pass the information on but are sure that I’ll be declined.

How long should you wait before you submit another offer and what should you go in as? Also is the EA allowed to say what the lowest they would take for it to save time?
George_Williams05/05/2020 09:45

UPDATEMade an offer this morning for 118k (offers around 130k was asking …UPDATEMade an offer this morning for 118k (offers around 130k was asking price) and was told immediately by the EA that they will pass the information on but are sure that I’ll be declined. How long should you wait before you submit another offer and what should you go in as? Also is the EA allowed to say what the lowest they would take for it to save time?


Well done for making your first step! In terms of how long to wait, it depends on how patient you are... I knew that other people wanted ‘my’ house so we acted quickly but made it absolutely clear that our final bid was the most we could go to (it wasn’t but you have to play the game!). There’s nothing stopping you asking for a figure that they think would seal the deal, but take it with a pinch of salt, seeing as it’s their commission that is affected by lower offers. Originally we were told by the agent that our vendor would not budge from £370k as he knows what it’s worth (and will be worth once we’ve done the work to it!) but I think he just wants his inheritance now so accepted our offer (and even agreed to wait for us to get a new offer when our buyer pulled out!). Look at previously sold prices on the street to see what others have gone for, factor in the costs of doing the work and see what figure that gives you. As a first timer, you’re in a really strong position as chains will become quite shaky once corona starts to bite people’s finances.
Exciting times

Have the estate agents not asked for proof of your mortgage position etc? They are supposed to do this.
George_Williams05/05/2020 09:45

UPDATEMade an offer this morning for 118k (offers around 130k was asking …UPDATEMade an offer this morning for 118k (offers around 130k was asking price) and was told immediately by the EA that they will pass the information on but are sure that I’ll be declined. How long should you wait before you submit another offer and what should you go in as? Also is the EA allowed to say what the lowest they would take for it to save time?


wait for the response then you can act from that.
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