Have you ever spent a lot of time helping a client, finding them the most seemingly perfect financial solution for their needs, and creating a KFI, only for it all to stumble over a piece of lending criteria you weren’t aware of? This is a frustration for many advisers, and one that we could all do without – advisers and lenders alike.
Having a number of different funders allows lenders to offer a range of different rates, features, special offers and extras across a selection of plans. Having this variety allows lenders to offer many clients, all with their own complex borrowing needs, a wider choice of solutions than ever before, which is one of the reasons why more and more clients are finding their way to a better retirement with more 2 life.
However, lenders having a wider range of plans does mean there will also be a greater range of lending criteria for advisers to contend with. The time spent with your clients, and then researching the right plan for them is precious, and navigating the lending criteria not only across different lenders, but different plans from just one lender, is not a good use of it. That’s why at more 2 life, we’ve created a guide to our lending criteria to help you watch out for some things which could cause your client’s application to stumble.
We crunched the numbers and found the most common reasons which stop lifetime mortgage applications in their tracks, and they include; asbestos, excessive clutter, proximity to commercial properties, flat rooves, single skin walls, pylons, high voltage equipment, phone masts and power lines, ex-local authority properties and flooding.
We certainly aren’t suggesting that you take up part-time work as a valuer, or begin driving around your client’s neighbourhood searching for pylons and phone masts, and we aren’t suggesting that you begin calculating flat roof percentages and window sill depth – our guide simply contains hints and tips, and some things you could watch out for if you make any routine visits, or during the fact-finding process. For example, can you see a commercial property from your client’s house? Can you see any pylons/high voltage equipment? Has your client mentioned asbestos or flooding? Do they have an extension or garage conversion?
What’s more, is that if you do have any concerns regarding our lending criteria, you can contact our dedicated support team on info@more2life.co.uk or 03454 500 151 and you will receive a response by the end of the day if you query is received before 1pm, or within 24 hours if after.
We know it’s not always possible for advisers to avoid the pitfalls of lending criteria, but we are committed to helping you any way we can, and arming you with as much information, hints and tips as possible, so that you can help your clients get the retirement that they truly deserve.
