Military Mortgages

[Captain Kirk]

Fox2, IIRC your rent needs to cover 125% of the interest on the loan amount. If you can pay off some of the capital (pension gratuity?) then you may be able to make the sums work - at least it would give you an option. Good luck.

[F3sRBest]

Lloyds said to me a few years back they would honour residential rates when I was looking to buy - never took it up in the end.

Know a great Mortgage broker who I met thru CTP resettlement brief, if anyone is interested in details PM me.

[Fox2long]

Thanks, I've written to the company and await their reply. F3 may take you up on the offer if no joy with the corporate monster.

[The Old Fat One]

Nationwide due not charge their additional (1.5%) permission to let fee to serving military personnel.

I happen to know this as I currently have a case with the FS Ombudsman against their charging me said fee.

Many other financial insitutions do this as well. Many do other charitable acts.

I in no way resent this, not just because I am ex military, but because I can see and agree the special circumstances. Good luck to anybody that cuts a good deal anyway they can.

Please do not however be so gullible to think this is motivated by public duty. It effects no more than a fraction of 1 percent of their mortgage base and they do it out of an opportunistic need to use any means to rehabilitate their trashed public image.

There are quite literally millions of complaints pending about retail banking in the UK (my complaint was raised last May and is no where near the top of the pile yet) and a large majority are about excessive and additional small print charges that are being used to fleece customers as their traditional income streams (ie the ability to loan money) have dried up.

[Whenurhappy]

We bought our first property in the UK near Wootton Bassett in the late 1990s (guess where I was serving?). Our first mortgage lender (our bank) were absolutely useless (and expensively so). We changed the mortgage 3 years later (the lenders let us go early as an acknowledgement of their cock-ups) and since then we have used a well-known brokerage based in Bath, who are fee-free, L&C. The firm, of course, gets a fat finders fee from the lender. We have had about 5 or 6 mortgages since then, all on very good rates and, more importantly, with lenders that understand and accept the 'exingencies of the Service'. Their broker rings me up ever 6 months or so and reviews the situation and has, in the past, come up with some stonking deals...like our current BOE BR tracker!

The important thing is to fully disclose intentions to the propsective lender, such as having to let the property when abroad (there are issues with the Proceeds of Crimes Act 2003 which the lender must be satisfied with and cover off). Our current mortgage lender (C&G) waived the admin fee when we commenced letting the property last year as a top-of-the range holiday let; I wrote to them explaining our situtation, providing evidence that the property would be professionally managed etc, and gently reminding them that in our application we had discolosed the possibility of letting the property because of my Service obligations.

Although I am no friend of the Financial Services industry, I have been pleasantly surprised how many firms will make a genuine attempt to assist Service personnel and their families (probably knowing that their salaries are reasonably secure). In addition to getting permission from the lender to let the property last year, I also got a nice letter back wishing me and the family well, and hoping that I would 'keep safe'.

I do feel for those (mainly Army personnel, it seems) who have been left high and dry by the collapse of the rental and property management agency called 'Blue Force'. Any PPruners affected by this?