What
Discount Can I Qualify For?
The maximum level of discount you are entitled to depends on the area
you live in and ranges from £16,000 to £38,000. This amount is deducted
off the market value of the property you live in. The discount you are
entitled to receive is equivalent to the number of years you have been
a Council Tenant. So the longer you have been renting from the council,
the more your discount will be. If you sell the property within three
to five years of buying it, you may have to pay back the discount.
So speak to one of our fully qualified mortgage advisers today and see
what discount you can expect. We will advise you after assessing your
circumstances what you can expect your mortgage payments to be.
How Can Moneybox Assist
You?
Moneybox work from the whole of mortgage market and within that we have
access to a panel of Specialist Right to Buy Lenders that will help tenants
to purchase their council property. The discount offered by your local
authority normally covers your deposit – So you do not normally need to
find your own.
We guide you through the whole Council Right to Buy Process regardless
of the stage of your enquiry. We can help if you have already received
your Right to Buy papers from your local council or if you need our full
expertise in finding out how to purchase your council property.
So speak to one of our fully qualified mortgage advisers today.
How Much Can I Borrow?
A number of factors will influence how much you can borrow, but the main
factors are your Income and the Open Market Valuation of your Council
Property.
You may be able to borrow MORE than the Right to Buy purchase
price of the property for
- Home Improvements
- Debt Consolidation
- Other Purposes
Do
I Qualify?
You may be looking to purchase your council property through the right
to buy scheme and are having problems finding a mortgage because you have
any of the following:
Although any of these issues will reduce the amount of lenders who will
consider you for a mortgage and will also affect your rate, we may be
able to help you.
We work from the whole of market and within our panel we have a number
of lenders who are happy to consider people with previous or current credit
problems; so let us help you find the right mortgage.
The overall cost for comparison is 9.6% APR.
The actual rate available will depend upon your circumstances. Ask for
a personalised illustration.
CCJs
County Court Judgements (or CCJs as they are more commonly known) are
registered when someone you owed money to, has taken legal action in the
county court. The court decided you owed the money and that it must be
paid by way of a court order. This CCJ is recorded and when you apply
for credit, this information will be made available to the lender by the
credit referencing company. If you have a CCJ registered against you,
this can sometimes make it awkward for you to obtain credit. However there
are many specialist lenders now available that understand these situations
and are quite happy to lend within their agreed criteria.
If you have difficulty in obtaining credit or you have a CCJ registered
against you, use our specialist service to help you get the right deal
for your circumstances.
The overall cost for comparison is 9.6% APR.
The actual rate available will depend upon your circumstances. Ask for
a personalised illustration.
Defaults
A default notice is a formal notice that is issued by the creditor to
the borrower. It declares that the agreed payments have not been maintained
in accordance with the original signed agreement and is now in arrears.
A default notice sets out the arrears owed and gives a deadline as to
when the payments should be recommenced. A default notice is normally
issued when the account is more than 2 months in arrears (between 3 and
6 months), and will stay on your credit record for up to 6 years. Although
a default is less severe than a CCJ, it can still have implications on
you obtaining further credit.
If you are experiencing difficulty in obtaining credit or you have a
default registered against you, use our service to help you get the right
deal for your circumstances.
The overall cost for comparison is 9.6% APR. The
actual rate available will depend upon your circumstances. Ask for a personalised
illustration.
Rent Arrears
If you are a private or public tenant and your monthly rent has fallen
behind, you may experience difficulty in obtaining a mortgage. The majority
of lenders will require a 12 month history of your previous payments,
basically to confirm that you are a regular payer and have been maintaining
your payments. However if you have fallen behind through missing a payment
or paying less than the full monthly payment required, you can still qualify
for a new mortgage. This does very much depend on how many months have
been missed in the last 12 months.
If you are experiencing difficulty in obtaining a mortgage due to missed
rental payments, use our service to help you get the right deal for your
circumstances.
The overall cost for comparison is 9.6% APR. The
actual rate available will depend upon your circumstances. Ask for a personalised
illustration.
IVA
An Individual Voluntary Arrangement (or IVA) is a formal repayment agreement
between a debtor (the person who owes the money) and their creditors (the
people that are owed the money). The IVA is a legally binding agreement
and allows the debtor to make reduced monthly payments to their unsecured
creditors for the duration of the IVA (normally 5 years). An IVA is available
as an alternative to Bankruptcy. During the IVA the creditors are legally
bound to freeze any further interest or charges to the account. The creditors
are also forbidden from contacting the client by mail, phone fax, or email
as any correspondence must go through the appropriated IVA practitioner
handling the case.
If you have an IVA and are experiencing problems in obtaining a mortgage,
then talk to us about helping you get the right deal for your circumstances.
The overall cost for comparison is 9.6% APR. The
actual rate available will depend upon your circumstances. Ask for a personalised
illustration.
Bankruptcy
Bankruptcy is an option that has to be considered when an individual
cannot pay their debts as they fall due. Bankruptcy proceedings will free
you from overwhelming debt and also make sure that your assets are shared
out fairly among your creditors. You will remain a bankrupt for a minimum
of 1 year and then normally be automatically discharged. It is at this
point that you can be considered for a mortgage.
If you are a discharged Bankrupt and are experiencing difficulty in obtaining
a secured loan, than talk to us about helping you get the right deal for
your circumstances.
The overall cost for comparison is 9.6% APR. The
actual rate available will depend upon your circumstances. Ask for a personalised
illustration.
Slow Payments
If you do not regularly pay your credit commitments on their due date,
but do instead pay within the calendar month that they fall due, this
will not count as a missed payment but it can certainly be recorded on
the credit register as a Slow payment. The implications of this are that
it could lead to a possible rejection of your credit or mortgage application
with a high street lender, as the majority of these companies work on
the basis of an automated credit scoring system.
If you have been declined due to a low credit score or slow payment record,
then talk to us about helping you get the right deal for your circumstances.
The overall cost for comparison is 9.3% APR. The
actual rate available will depend upon your circumstances. Ask for a personalised
illustration.
Self certification mortgage
A self certification mortgage is where you are unable to prove your income
to the satisfaction of the lender. This could be due to you not having
2 years accounts (or in some cases 3 years accounts) or your income coming
from various sources. Because a self certification mortgage is higher
risk to the lender you will pay a higher rate than a mortgage where you
do prove your income.
Speak to one of our fully qualified mortgage advisers today and find
out if a self certification mortgage is the right type of mortgage for
your circumstances.
The overall cost for comparison is 9.6% APR. The
actual rate available will depend upon your circumstances. Ask for a personalised
illustration.
The Right to Buy Process
Step 1 Complete an RTB1 application form and an authority form and send
to your local authority.
Step 2 You will then be sent an RTB2 form which tells you if you have
the Right to Buy your home. You should receive this within 4 weeks of
your application, or 8 weeks if you have been a tenant for less than 2
years. If you do not have the right to buy, you must be given the reason
why.
Step 3 Council will arrange for a valuation of your property and then
calculate the Discount and Purchase Price.
Step 4 Freehold House – an offer notice will be sent
to you with 8 weeks.
Leasehold Flat, Maisonette or house – an offer notice
will be sent to you in 12 weeks.
This offer will detail price and terms and conditions of the sale.
Step 5 The Lender will require a independent survey from a qualified
surveyor. We will arrange this. There is nothing to pay upfront for this
service. If your landlord has valued your home too highly you have
the right to request an independent valuation from the District Valuer.
This has to be done with 12 weeks of receiving the offer in Step 4.
Step 6 You have to tell your landlord if you want to accept their offer
within 12 weeks. If you don’t reply in this period you will receive a
reminder and a further 28 days to reply. If you don’t reply in this time
then your application will be deemed to be withdrawn.
Step 7 We will arrange for a mortgage on the property on your behalf.
Your landlord will allow you 3 months to complete the purchase of your
house. If you delay the purchase the landlord may issue you with a warning
notice to complete the purchase within 56 days. If no progress is made
a second 56 day notice will be served during which time the purchase must
be completed or the application will not be taken any further.
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