When Anne and I shacked up together we moved up from London to Lincoln. Dahn sarf we had grown accustomed to the notion of having to stretch to a 4 x joint salary mortgage to be able to afford a small flat. In Lincoln it wasn’t going to need anything like that. In fact we could have easily bought a house on 3 x one salary.
We found a suitable gaff/love nest and off I trotted to the Halifax Building Society to sort the mortgage out. The manager gave me a grilling: did I know that buying a house was an expensive game, solicitors fees, furniture, deposit etc. We would need a fair bit of cash to get going.
I told him I didn’t have any savings but didn’t they do 100% mortgages? After all that’s what I did on my previous house. Ah thought the manager, what happened to the profit on that first house. It went on wine, women and male voice choirs I replied.
Realising that the interview wasn’t going too well I said that the only reason I was giving Halifax first refusal was because my fiancee had a savings account with them. Ahah said the manager. How much money does she have? Well every month she puts £20 in and every other month she takes £40 out I said:)
We left the meeting with him wanting to arrange to see both of us before making a decision. Sod you I thought. Who’d want to do business with someone stupid enough to not just give me the money straight away.
I went next door to the Alliance & Leicester Building Society. Told the manger I had all the cash for the deposit/solicitors fees/furniture etc saved up and that either of us could afford the mortgage payments on one salary. He offered me a mortgage on the spot and gave me the paperwork to take home and complete.
When I got home I rang Lloyds Bank to ask for a £5k loan to cover the house deposit. Where was I getting the mortgage from said the manager? A&L. Why don’t you get it from us said he? Do you do 100% mortgages then? No he said but I’ll lend you the other 5% as well!!!
That was over 25 years ago and we’ve been with Lloyds Bank ever since.
That’s how you go about getting a mortgage:)
Look out for further helpful financial hints from trefor.net at the weekend – coming soon how to with the lottery and other pie in the sky hopeless aspirations.
Other bank related posts:
Photo: crocii near the Embankment tube station