The latest research has found that around one quarter of mortgage applicants who have financial situations that are outside of the standard ones face a difficult time in getting a loan.
This data comes from Together and it indicates that such borrowers are struggling with the emotional and mental cost of that. According to figures that were published three years ago, 19% of borrowers in that kind of situation had been turned down when applying for a mortgage during the previous half decade. Now this updated research by Together shows that 7% have still not managed to get a loan so that they can buy a home.
Among the reasons that people who took part in the research cited for their rejections were credit history issues, self-employment and age. Two out of every five respondents – which amounts to 39% – said that applying through shared ownership had led to their being turned down.
Around 29% stated that credit history flaws were the reason why their applications had been rejected. 22% cited self-employment and consequent income fluctuations as the reason, while 27% said it was because they were more than 55 years old.
One quarter of rejected applicants told Together that this had led to unhappiness and stress, while 14% said that they regarded the rejections as a personal judgment. Over one out of every 10 said that the application process and rejections had affected their sleep.
This research shows that guidance from someone with CeMAP mortgage advisor training can make all the difference.
