The customer's application had been rejected by high street lenders due to his financial losses during the pandemic
Mortgage broker Zinga Financial Services has completed a hard to place case, helping a self-employed customer to purchase a new home.
The broker was working with a couple, one of whom was self-employed and wanted to borrow 85% loan-to-value (LTV) to purchase a property in London. However, the self-employed applicant had a small financial blip due to a missed payment over four years ago following a change of address.
In addition, the recruitment business owned by the self-employed applicant had been severely impacted by COVID and while the last year’s profit was good, the previous year had shown a loss. As a result, the application had been rejected by high street lenders.
However, specialist lender Pepper Money considered the latest year’s accounts of the borrower, and was able to offer a two-year fixed rate mortgage at the LTV they required.
“Our customer was self-employed and the business had suffered during COVID,” Manooch Suree (pictured), senior mortgage advisor at Zinga Financial Services, related. “A historic financial mishap also made the case more difficult to place, but Pepper Money was able to base affordability on the most recent year’s accounts and accept the customers with less than perfect credit history.
“The lender took a logical, customer centric approach and worked at speed to get the deal done. The underwriter on the case was very helpful and always called us following an email to explain the requirements and why they were being asked.”
Ryan Brailsford, director of business development at Pepper Money, said the pandemic had impacted many businesses and, with some lenders, a drop in income over the last three years can make it difficult to get a mortgage.
“At Pepper Money, we can base affordability on the latest year’s accounts for self-employed customers and, with our considered approach to adverse credit, we were able to help these Almost Primers into their new home,” Brailsford stated. “We worked in collaboration with Manooch and the team at Zinga Financial Services to make sure an offer was issued quickly, and the case completed smoothly.”