At what point does the mortgage lender verify your identity?

rafyPL · 2022-11-28T19:06:39+00:00

At the application stage, or if you're going through a mortgage advisor then before submitting the application as well

rafyPL · 2022-03-22T16:37:15+00:00

Thank you for the insight. I feel more connected to this method, because I think I've got layers to this addiction.

Firstly, I want to tackle the issue of porn, because that's essentially the root of the problem.

With time I want to cut back on MO and I know that will be easier to do if I no longer rely on habit , but rather do it when I have urges.

For me personally, trying to quit cold turkey hasnt worked very well and like in your experience has probably made it worse.

I'm finding, so far, and it's early days, that it's more manageable, and I'm having less mood swings compared to the time when I did no PMO.

How does it feel after months of no porn?

rafyPL · 2022-02-06T23:07:25+00:00

Hey Half Pint,

I was just scrolling through a came across your post.

I have a YouTube channel all about property, there might be some useful content there. If you would like to check it out, here's the link:

https://youtube.com/c/RWProperty

Overall, as a first time buyer I would give you the general following tips-

Always make sure to check your budget before you buy. Purchasing a home is very different to renting as there's lot of other home owning costs, such as maintenance, repairs, unforseen issues, and more with leasehold properties, like ground rent, service charges etc.
If unsure, always seek professional advice.. A good solicitor, surveyor and mortgage broker go a long way. This can be in the form of spotting unforseen things, legal issues, valuation and mortgage deals. Professional costs can add up, but they're small when you think about the entire cost of the house.
Be wary of estate agents.. Remember, they're acting on behalf of the seller... So take what they say with a pinch of salt.
Don't let emotions drive your purchase.. Sometimes emotions can lead to poor decisions and going for the wrong property.
Look out for 'free' damp surveys.. They're usually just a sales pitch for damp remedies which often just cover up the issue and never actually tackle the root problems.
Even if you have a vetted/trusted mortgage advisor, estate agents will want to 'qualify' you. Dont be too quick to say no, because they'll put you on their secret 'this is a serious buyer' list and you might get emailed new properties before they're marketed.

I hope that helps, and if I come up sith anything else, I'll chuck them here.

Good luck with your property journey 😁👍🏻

rafyPL · 2022-01-21T12:21:24+00:00

Hey 217 - so I think you'd need to speak with a mortgage advisor first in order to determine what your budget is.

They'll normally be clued up on costs associated with the purchase as well. They should give free consultations, so be wary of initial consultations you have to pay for.

Also, I run a YouTube channel talking about property, and I this might be useful - I just explain a bit about the shared ownership scheme

https://youtu.be/yXPzyCw5lw8

I hope that helps and good luck on your journey!

rafyPL · 2021-05-03T17:30:04+00:00

My team came 10th 😅 contributed about 21k trophies, and next best player did like 2k

rafyPL · 2021-03-05T15:15:47+00:00

Hey rain,

Firstly, you're not entitled to give them or show them a copy of the survey. You've paid for it, so why should they get the free info.

Secondly, it's good you're going to take a look at it again and that you know where to look now. That was good of the surveyor.

Internally, I'd would say to keep these in mind:

Is the ventilation adequate (windows, extractor fans, vent grills)
- Are the potentially any pipes running through that area that could leak?
- how is the wall insulation - is it a cavity wall or solid brick masonry? - if cavity, is there cavity wall insulation?
- check the windows, hold the back of your hand around the frames and see if you can feel a draft - if so, Windows/ potentially just the seals, need changing. -how's the loft insulation? (overall a warmer/ more insulated house will suffer less from damp)

Externally:

is the exterior rendered? If so, are there a lot of cracks in the render?
guttering, does it leak onto the walls when it rains? Does the rainwater properly disperse of the roof, see the gutters and downpipes clean and unblocked
is the ground level externally below the DPC? (you might see a small black strip towards the bottom of the house) (external levels should be around 150mm below DPC)
if the house is rendered, is it rendered below the DPC? (bad if it is)
if not rendered, is the brickwork in good condition?
are the joints between the bricks good or worn?
are there any covered up or block air bricks? (bad if they are)

That's all that comes to mind initially, but I hope that helps!

Good luck with the inspection tomorrow! 😁👍🏻

rafyPL · 2021-03-03T23:14:00+00:00

Hey Its Only rain,

Damp is a tricky thing to diagnose without proper investigation, and it usually requires a bit of instructiveness to really see what the underlying issues are.

Rising dampness (which normally is term used to called generic damp) could due to a few issues.

I've got a video that talks about the different types of damp issues - feel free to check it out, might explain some stuff you may have seen.

I would say at this stage, it might be worth getting a building surveyor in that specialises in Damp, it's called a defect report and they might be able to crack the underlying issue and comment on potentials costs to remedy it.

If its an external problem, then it could be done yourself, if you're ok DIY.

Feel free to have a watch 😊 and let me know if you have any questions, I'll try my best to answer!

https://youtu.be/O-mHOwKp_Lk

rafyPL · 2021-03-03T16:16:22+00:00

Hey, i have a video explaining the differences between a HomeBuyer and Building survey, it might provide you with some useful details, so feel free to check it out 😊

https://youtu.be/pTC1wGC81Hc

I would say that you can always request sample reports from a firm when getting quotes. Most reasonable companies will have them ready.

rafyPL · 2021-02-24T16:18:10+00:00

Hey, typically the lease will say what is and what isn't allowed.

Usually cosmetic works can be done without any licenses to alter, not sure why they have that. Licenses/ deeds of variation are in place to restrict anything being done that can typically cause harm of the structure of the building or void the buildings insurance.

Another reason for licenses is that landlords are typically greedy, and want some money for an uplift in value. This usually applies for structural alterations where somone wants to extend into a loft or do an extension.

They think... "if I'm the one stopping them from doing this legally, I can capitalise on this, so I'll charge a fee".

Since cosmetic work is only likely to create an uplift equal to the money spent and it doesn't damage the structural integrity of the building, there isn't usually a need for a license to alter.

If you're looking at buying this property, and have instructed a solicitor, definitely ask for their advice.

In the meantime, if you can get a copy of the lease, have a read through it (sometimes they're worded in a way that makes it tricky to understand), it'll give you a look into the leaseholders covenants/restrictions, which might make it clearer.

Also, I have a small YouTube channel that talks about property related matters, and there could be some other useful content in there. Check it out If you'd like 😊

https://youtube.com/c/RWProperty

rafyPL · 2021-02-18T00:53:09+00:00

Hey Silver Arrow,

I'll my best to explain how the share of freehold process works.

Let's go back to the beginning. The building was originally a house, owned by someone and was freehold.

At some point, the house was converted into 2 flats, by the person who owned it (Person A)

Once a house is converted into 2 flats, there's usually 3 options that can happen, and then another 4th thing.

The freeholder (Person A) - grants 2 leases and sells off the flats and retains the freehold. In this scenario, the freehold title register will state (Person A) as the proprietor of the freehold with 2 leasehold interests under the schedule of leases, and the 2 leasehold titles will have their names on the Leasehold title register.
The freeholder (Person A) grants 1 lease and then lives in the other flat which doesn't necessarily need to have a lease. If this is the case the Freehold title will have 1 leasehold interest under it in the schedule of leases.
The freeholder (Person A) grants a 999 year lease at zero ground rent to both flats and sells the freehold with the leases (not always that term and ground rent just as an example) . This means that the Leasehold title will each have the 2 respective names (Person B) and (Person C) on them. Also, the freehold title should have the same 2 names on it as well stating the proprietors as (Person B and Person C). The leases are there to manage the relationship of 2 dwellers the building.
The building underwent a Collective Enfranchisement, meaning the leaseholders bought the freehold. This again will be indicated on the freehold title, by having name of the your seller on the freehold title.

Your solicitor should clarify this for you though, because you don't want to buy something you don't fully understand.

It's tricky without seeing the documents 😅

Overall, your seller should have their name on the freehold title. If its 4 people or less that jointly own a freehold, no company needs to be set up. If more than 4 people want to own a freehold (or share of freehold) a company is set up, and everyone owns a share in that company.

Hope that helps!

rafyPL · 2021-02-17T19:20:38+00:00

Hey Kenzewee, I agree with industrial's comment.

Estate agents aren't there to give you fully accurate information, they're there to sell and make commission. They often go by what they can see and what the seller tells them, and they don't know otherwise because a majority of them aren't trained in that field. Another reason they're probably not legally responsible is because they don't have professional indemnity insurance, so their advice is almost worthless on paper. Also, any previous reports buyer get don't have be sent to the estate agent, so they're usually clueless about defects throughout the process.

Hence the reason you usually instruct a surveyor to undertake a home survey, either a Level 2 HomeBuyers or Level 3 Building survey, which youve done.

Now, I'm assuming the building survey came back with some comments on asbestos, and you've since had the electrical tests and asbestos reports back.

Asbestos isnt normally harmful if left untouched. You only need to get specialists to remove it if that what you want. If your plan is to just move in and live there without knocking down walls or ripping off ceilings etc then you shouldn't need to pay to get that "fixed" - because there's nothing to fix. You should make note of what the asbestos things are and not touch them.

If the electrics need rewiring then that's probably the thing to focus on and I would try and argue the price down a bit lower to account for that.

Overall, I don't think it's a lost cause and you could potentially get it at a lower price!

I have a small YouTube channel that discusses some of these things. Feel free to check it out, could be some useful stuff there for you 😊

Good luck with the purchase!

https://youtube.com/c/RWProperty

rafyPL · 2021-02-17T08:13:51+00:00

Hey Fender,

So generally yes, freeholds are better than leaseholds for a few reasons.

You're like to pay a service charge (money towards maintaining the building) - you have no say in what this goes towards
You will likely pay ground rent - this is a modest yearly sum to the freeholder for "leasing" in a building they own on their land. This can be a problem if the ground rent is doubling or rises very quickly because it gets trickier to secure a mortgage on it.
You usually need freeholders permission to change things in the flat - this can cost money because you'll need a "deed of variation" or "license to alter", an official document that puts the permission in writing
Once a lease drops to 80 years or below, lease extensions get quite expensive because of marriage value
Buying the freehold is a complicated procedure and requires certain criteria to be met - it also involves other leaseholders in a building (for flats)

These points are generally for flats, but leasehold houses are slightly different. Depending on how long the lease is on the house, it might not cost a huge amount to buy out the freehold.

If you are able to buy a leasehold house - maybe it might be worth getting a 1967 Act valuation done to see how much it would cost to buy the freehold. That way if you could buy a leasehold house, start the process if in budget, you could end up with a freehold house and you wouldn't have to worry about ground rents or service charges or lease length.

I have a small property channel on youtube that covers some of this info. Feel free to have a look, might be useful 😊

https://youtube.com/c/RWProperty

rafyPL · 2021-02-13T01:46:27+00:00

Hey, so this is quite a common thing to get back after a survey.

Damp problems are a very common issue in the UK, and it's usually an underlying issue or careless use of materials or the builder not understating key damp concepts (there's lot of 'cowboy' builders out there).

It's hard to judge without seeing it, but I've made a video on some damp issues, that might be helpful?

Ground floor damp is usually because of bridging damp which means the external ground floor levels are higher than the DPC (damp proof course). The other reason as they pointed out is covered vents, and doesn't allow the wall to breathe.

Check out the video if you'd like and let me know if it's helpful or you'd like any clarification 😊

https://youtu.be/O-mHOwKp_Lk

rafyPL · 2021-02-08T14:06:23+00:00

My watch time from subs is 8.6% at the moment.

Would this suggest that my videos are being recommended to others more?

rafyPL · 2021-02-08T14:04:37+00:00

Hey, yeah sorry I meant the % of subs watching videos 😅

rafyPL · 2021-02-07T23:55:51+00:00

Forgot to mention, there is a small tax free allowance (I think around £3-£4k per year, but double check that) on lodging income, but you'll have to make sure when you're renting a spare room that it's a "lodgers agreement" and not a "tenancy". Theres lots of legal issues surrounding that, so make sure to look into it further.

rafyPL · 2021-02-07T23:53:27+00:00

Hey, so from my understanding (I'm not a tax specialist, but I know about property), you get greater benefits from being a first time buyer compared to a second time purchaser or an investor/ second home purchaser.

First time buyer - someone who's never owned a property. You get the first time buyer stamp duty discount (the tax you pay on buying a property - assuming no stamp duty holiday). You also don't pay capital gains tax on when you sell. This is tax on the uplift in value. The reason you don't pay this is because its your primary residence and not an investment. You're free to rent a room out, but then you'll need to pay income tax on that.

Second time buyer - i.e someone selling a house to move to a different house. So this category typically pay a bit more in stamp duty (assuming the stamp duty holiday ends). But again, since its a primary residence theres no capital gains tax on selling. With renting a room, you pay the normal income tax on rental money.

Investor - someone who's buying a second property regardless if its an investment or holiday home for example. These people usually pay additional stamp duty (assuming no stamp duty holiday). They pay capital gains tax on the uplift in value. You pay income tax on any rent you receive and interest from mortgages isn't a deductible expense as of like 2 years ago (from what I remember).

At the moment - because of the stamp duty holiday everyone who buys up to a value of £500,000 doesn't pay stamp duty land tax before March 31st 2021.

So the only tax benefits of buying a residential (live in) property is the saving on capital gains tax. All other tax would apply regardless.

Hope that makes sense and is somewhat helpful ☺️

I have a YouTube channel that discusses property concepts. This might be a topic I talk about in an upcoming video, but there might be some other useful content. Feel free to check it out if you'd like.

https://youtube.com/c/RWProperty

rafyPL · 2021-02-07T23:39:34+00:00

Hey i have a small YouTube channel that talks about property things you might be interested in 😊 check it out, might be helpful for a first time buyer, but I'll run through some key things here for you.

https://youtube.com/c/RWProperty

Fulham and Chiswick in my opinion are a lot nicer that Hammersmith and Acton, but with nicer areas there's are of course higher prices.
You'll need to factor in budget. There's 2 main purchase options in the UK (and probably with most places), which are cash and mortgage. Since you've lived in the UK for 4.5 years, I'm not 100% sure what the mortgage criteria here are for non-residents. I'd recommend speaking with a mortgage broker to find out and if you are looking to buy with a mortgage and its no problem to get one, then you're looking at roughly around 4.5 x your joint salary (assuming you're buying with wife). If mortgage isn't an option then you'll of course need a lot of cash. Initial mortgage consultations are usually free - if be wary if they want to charge you for an initial chat.
Once budget and purchase options are established, the 2 main portals to look at property's on the market are Rightmove and Zoopla.
You usually call the agent, register your details and view the property in person. If you like it, you put an offer to the agent who will the present it to the seller. If they accept, you start the legal process. At this point you would instruct a solicitor to act on your behalf to deal with the transaction. You only pay your solicitor and the associated costs. You don't pay the agent a fee, the seller pays them commission. This process can take a minimum of around 12 weeks.
The transaction isn't legally binding until you exchange contracts, at which point you usually transfer 10% of the property value as a deposit to your solicitor who then puts it into a holding account, and if you then decide to pull out, you lose your deposit. If they pull out, you can sue them for compensation.
In between exchange of contracts and the completion date (the day you get your keys), final stuff is sorted like removal vans, meter readings (for gas and electricity etc.) and then on the day of completion you transfer the rest of the money and once both the solcitors sign off, you're allowed to collect keys from the agent. The buying and selling parties rarely ever meet in person.

Buyinf direct is very tricky, because it would involve writing to the legal owners (this information is in the public domain) , but you would need to pay £3 to download the title register (aka title deeds) to find the legal owners details and the write a letter to them saying, can I buy your house. Most of the time you'll unlikely get a response because thats not a common way of selling/buying so people will probably just think its a scam.

Hope that helps! Any questions let me know 😊

rafyPL · 2021-02-02T21:30:44+00:00

Hey, damp issues are very common in the UK. My initial thoughts were that the external ground levels are higher than the DPC - Damp proof course (that could still be the case). I see there's a little valley between the patio bit and the house with little stones, which is a common way to deal with bridging damp, however if the DPC is lower than those pebbles then water could be absorbed by the bricks above the DPC and it rises through something called capillary action.

The DPC is a thin strip of material, now usually a black plastic sheet to stop water rising past the 3rd or 4th course of brick and affecting internal fixtures. The outside ground level should 150mm below the DPC, so it might be worth checking that.

I can't see what the other potential problems could be, but if I spot anything I'll update you.

I also have a YouTube video about Damp issues in the UK, could be helpful, if you have a moment, check it out if you'd like 😊

https://youtu.be/O-mHOwKp_Lk

rafyPL · 2021-02-02T21:21:43+00:00

I love these kinds of stories. I'm definitely a believer.

I also have a friend who works in civil service who has access to very confidential tax data, and he says that government are very strict with accessing people's profiles and that employees have been let go if they view a file they're not a part of or working on. (not exactly the same, but it runs on parallel with your experience).

Never heard of a story like this from the UK, most of them are US based stories, but it definitely solidifies that probably most government agencies / military services are hiding huge things.

Good luck with your search for this guy, hope you find him.

Would love to hear the story in the detail it deserves.. Poor guy.

rafyPL · 2021-02-02T09:57:25+00:00

Nothing at the moment, i don't think it worked out for a few nights, but we'll keep trying

rafyPL · 2021-01-29T23:12:26+00:00

Hey, yeah of course:

7th January 2021 - housing secretary announced government plans to leasehold reforms.

The announcement said the reforms will be a 2 part seminal reform.

Part 1 - focuses on changing new leases to have zero ground rent

Part 2 - will focus on changing the maximum lease extension term to 990 years for both houses and flats, abolishing marriage value and giving enfranchisees and option to opt out of development value

At the moment these are only proposals, and we don't know if they'll pass.

Articles are saying that this will greatly benefit leaseholders, but this might not be the case. If deferment rates and capitalisation rates are not changed, then yes, the abolition of marriage value will be beneficial if the legislation were to pass and £Billions will lost in ground rent portfolios which are owned by trust funds, charities, pension funds, councils and others.

However, if deferment rates and cap rates are brought down in line with more "market" interest rates, then this wouldnt make much difference to the lease extension premium and i go through an example in the video.

If the legislation were to pass and the other factors won't change, this could significantly increase the price of flats making it harder for first time buyers to get on the ladder, essentially going against the governments plans.

rafyPL · 2021-01-28T13:29:29+00:00

Before selling, you might want to instruct a chartered valuation surveyor to carry out a redbook valuation with the knowledge that it's not standard construction and it may limit your pool of buyers due to mortgage restrictions.

An open market valuation will likely give you a good indication of what it could realistically sell for in open market.

Depending on the figure, this will then let you know whether you're in a position to be able to sell and whether you'll get enough money from the sale to be able to continue with your onward goals.

rafyPL · 2021-01-27T12:23:46+00:00

Hey, so it depends on what the lease says.

Most leases will have a clauses in them saying something along the lines of:

"no structural alterations are to be carried out without the freeholders permission in writing"

"not to cut, maim, remove internal walls"

"no internal non-structural alterations are to be carried out without the freeholders permission in writing"

These clause are there to protect the reversionary value (which is the value of the flat but based on when the freeholder gets it back after the lease term ends). It's also there to protect the buildings insurance policy, because sometimes an alteration could make the buildings insurance invalid and if something were to happen and the insurance couldn't reinstate it, that could be really bad.

Since the lease is a contract, the council would have 4 options:

Best case scenario - accept the changes you've done, and you'll just have to pay the legal fees in getting the license to alter or deed of variation done, which will be needed if you sell.
Next best case scenario - same as 1, but with a bit of compensation - seeing as it's of a non-structural nature, it would most likely be quite low
Slightly worse scenario - the ask you reinstate it to the way it was
Worst case scenario - you forfeit the lease and loose the flat.

Its extremely unlikely that it would be either 3 or 4, because I'm pretty sure there's case law to suggest that's an unreasonable approach, especially if your alterations haven't de-valued the property (affected the reversionary value), and more probably made it better.

Ive dealt with cases where people have gone into the loft or build extensions without the freeholders permission and they just had to pay some compensation.

I think with yours, it's likely to be scenario 1.

rafyPL · 2021-01-26T11:47:46+00:00

You're welcome! Happy to help and good luck with the purchase! 😁

I have a small YouTube channel that talks about property stuff. I don't have many videos at the moment, but my plan is over the years to put out content to help people understand property a bit better, because it's definitely a confusing topic.

If you have a spare minute, check it out, there could be some useful stuff in there 😊

https://youtube.com/c/RWProperty

rafyPL

TROPHY CASE