One of the main reasons mortgage applications are declined in the UK is affordability. Even if you have a good credit history and a reasonable deposit, a lender may decide that the mortgage you applied for is more than you can realistically afford.
Why Affordability Matters
Lenders must be confident that you can maintain your repayments not only today, but also if interest rates rise or your circumstances change. They will look at your income, outgoings, and any existing credit commitments to assess how much you can borrow. If your monthly expenses are too high in relation to your income, the lender may decline your application.
Taking Your Next Step
If you’ve been declined because of affordability, it doesn’t mean the end of your homeownership journey. Reviewing your budget, reducing existing commitments, or considering properties within a different price range could all make a difference.
At Muuvin Mortgages & Protection, we offer no-obligation calls to help you understand why you may have been declined and what steps might improve your chances when you’re ready to apply again.
Can affordability checks vary between lenders?
Yes. Some lenders have stricter criteria than others, which is why outcomes can differ.
What can I do to improve affordability before reapplying?
There are a variety of ways to do that. To improve affordability you would need to book an appointment to look at specifics.
Disclaimer
Your home may be repossessed if you do not keep up repayments on your mortgage.
This article is for general information only and should not be taken as advice. Mortgage applications are subject to status and lender criteria. The information provided is correct as of the date it was posted and may be subject to change without notice.
