Birmingham Midshires

Notes: The following information is provided by a third party organisation. We have not verified this information with the lender. Ask your broker to confirm any aspects that are important to you. The main features of this mortgage will be confirmed in the Key facts Illustration. Please ask your broker for a Key facts Illustration

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Advances

Upto £1,700,000 85% LTV (Rmg 85%)
Upto £2,000,000 75% LTV (Rmg 75%)

Notes

Mortgage is Portable
You can keep this product if you move to a new property and take out a new mortgage with Birmingham Midshires, provided that the new mortgage is for the same amount and is taken out within 6 months of repayment of this loan. If this occurs, any early repayment charges (detailed above), will not be payable. However, if the new mortgage is taken out in different names Birmingham Midshires will not waive or refund these early repayment charges without the written consent of all original borrowers.
If either the scheme or your circumstances change, you may not be able to keep this product, and any early repayment charges (detailed above), will be payable.
When moving house you will be unable to keep this product if your level of adverse credit increases beyond the maximum allowed.


Additional borrowing applications will not be permitted within 6 months of completion of the original mortgage.


You are free to make lump sum or regular overpayments to this mortgage, however the early repayment charges detailed in Section 10, will apply.
If you do make a lump sum payment or overpayment then the amount of interest you are charged, is reduced immediately. This means that you will get the benefit straightaway.

Capital Rest Period : Daily

Repayment Types
Repayment Yes
Endowment Yes
PEP Yes
Pension Yes
Interest only (no RV) Yes
With Profits Yes
Unit Linked Yes
ISA Yes
Split Repayment Yes

Fees

Arrangement : refer
Booking : None

Early Repayment Charges
refer

Higher Lending
None

Valuation
Basic:
upto £50,000 - £290
upto £100,000 - £330
upto £150,000 - £365
upto £200,000 - £405
upto £300,000 - £480
upto £400,000 - £550
upto £500,000 - £615
upto £600,000 - £670
upto £700,000 - £730
upto £800,000 - £785
upto £900,000 - £840
upto £1,000,000 - £895

Valuation Fee only refundable when the valuation has not been carried out.

The valuation fee includes a £150 administration fee.
For properties valued over £1 million please refer to Birmingham Midshires for the valuation fee.

Direct Proc fees will be paid for business submitted online direct to BM Solutions and Club/Principal fees will be paid to the Club/Principal. Contact your distributor representative for details of their procuration fee scales.

The AVM (Automated Valuation Model) is eligible for the following cases:
*LTV (based on purchase price) is less than or equal to the current scheme limit on both new loan and remortgage applications
Application is not packaged.
*The scheme is Mainstream
Application type is new loan (except where the property is in Scotland or Northern Ireland).
Application type is a remortgage (except where the property is in Northern Ireland)
*The scheme is NOT Buy to let or ex-pat buy to let.
* Loan amount is no more than £500K.
*Property is NOT a new build.
* Purchase price/ estimated value is no more than £750K.

The lender will add the Mortgage Account Fee to the loan and for a repayment or part repayment mortgage will include an element of it within the monthly payments to be repaid over the term. No interest will be charged on this fee.

Higher Lending Charges are calculated on the difference between 75% of the value of your home and the amount you wish to borrow. Added fees will not be included in this calculation.
Lender Conveyancing Fee - £161.27 Payable on completion. A non refundable fee to your conveyancer due before the loan starts. The figure quoted here is an estimate, the total cost of conveyancing may be higher.
Telegraphic Transfer - £35.00 Payable on completion.
Mortgage Account Fee - £275.00 Payable on completion. A Mortgage Account Fee is payable on completion. The fee will be added to the loan. The fee is to cover the setting up, routine maintenance, and closing down of the mortgage account. The fee is non refundable.

Acceptable Property Types

Freehold Flat No
Purpose Built Flat Yes
Converted Flat Yes
Flat Over Shop Refer
Maisonette Yes
Studio Flat Yes
Flying Freehold Refer
Thatched Yes
Timber Framed Refer
Concrete Refer
Agricultural Tie No
Flat Over 4 Storeys Yes
Listed Building Yes

Not Accepted
New Build acceptable.
Builder or Vendor deposit is acceptable up to maximum of 5% of the purchase price. The valuer must be made aware of the deposit incentive at the time the valuation is carried out.

Holiday and second home, maximum 75% LTV.

Flats over shops and flats over 4 stories may be considered on merit.

Flying Freehold and Commonhold may be considered on their merits.

Unacceptable Property Types:
Freehold flats, mobile homes, houseboats, self-build, commercial property, and property on which buildings insurance cannot be arranged.

BM will Consider lending on Leasehold Maisonettes but not Freehold.

New build mainstream lending (houses and flats) is acceptable up to a maximum of 80% LTV.

New Build accepted subject to terms and conditions, please refer to lender.

Remortgage applications not accepted where the customer has owned the property for less than 6 months.

Mainstream additional borrowing applications are acceptable up to a maximum of 80% LTV.

Accepted Locations : England, Scotland, Wales, N Ireland

Requirements

Bank Statements No
At Least 3 Months Pay Slips Yes
P60 Yes
Proof Of Residency Yes
Life Policy To Be Assigned No
Previous Lender References Yes

Insurance
Buildings Conditional

Conditions On Loan
Min Loan £250,001/Rmg £250,001
Max Loan £2,000,000/Rmg £2,000,000
Max Portfolio of BTL Loans none
Min Age 18 years
Max Age 65 years
Min Term 5 years
Max Term 40 years
Available for further borrowing.

General insurance - arrange direct charge £50.

Further Advance Arrangement Fee - £299.

Birmingham Midshires charge an additional admin fee of £250 when a product is changed after an offer has been issued.

The method for repaying the interest only element of the loan must be specified.

As a condition of this mortgage you must take out buildings insurance on the property.
Foreign Citizens Accepted
Ex-Patriates Accepted

Income Multipliers
Based on Income > 0
4.5 + 1 or 3.6 joint

Min months in current position 6
Min months in continuous service 12
Min no. of years accounts 2
Average years taken to calculate income 2
Will consider declining profit No

Outgoings
Maximum borrowing is calculated using our affordability model. This takes into consideration the financial commitments of the client and also their household expenditure. To determine the maximum loan please refer to the 'One Minute Mortgage' at bmsolutions.co.uk.

For employed applicants, annual income will be made up of the following:
Basic salary including, large town allowance, mortgage subsidy, car allowance (not expenses), PLUS We consider up to 60% of shift allowance, regular or non-guaranteed overtime, bonus, and commission.

For self-employed applicants annual income will be assessed from the accounting information supplied.

Pension - 100% of occupational/disability pension (not other benefits relating to disability)/service/widows and state pension can be included as eligible income. State pension would not usually be accepted as the sole means of supporting a mortgage.

Maintenance - maintenance should be likely to continue for a reasonable period of time e.g. 5 years. Payments should be made under a court order/CSA or have a minimum 6 month track record.

Working Tax Credit / Child Tax Credit - 100% of Tax Credits may be added to the earned income being used for mortgage purposes.

Unacceptable Income:
State Pension/Benefits - State pensions and benefits are not usually to be considered as a sole means for supporting a mortgage. This includes child benefit, carer’s allowance, income support etc.

Where applicants are self-certifying their income under the specialist Self-certification Scheme, the total income from all income streams will be used for mortgage purposes.

Outgoings that will be taken into consideration include:

Personal Loans and Hire Purchase Agreements - Provided they have more than 12 months remaining and are not redeemed upon completion.

Credit / Store Cards - This will include 5% of balances that are not cleared on a monthly basis.

Maintenance - Long term commitments such as maintenance and other financial commitments that have more than 12 months remaining are also taken into consideration.


Hire Purchase Taken into account
Personal Loans Taken into account
Overdraft NOT Taken into account
Credit/Store Cards Taken into account
Child Maintenance Taken into account
Child Education NOT Taken into account
Extra Income:-
Other Income - Guaranteed Add 100% to income before multiply
Other Income - Regular Add 100% to income before multiply
Other Income - Irregular Add 100% to income before multiply
Investment Income No
Mortgage Subsidy Add 100% to income before multiply
Large Town Allowance Add 100% to income before multiply
Maintenance Payments No
Non Contributory Pension No
Car Allowance No

Remortgage Max LTV Max% increase

Capital Raising 85%
Home Improvements 85%
Debt Consolidation 85%
School Fees 85%
Holidays/Cars 85%
Buy Other Property 85%
Business Purposes 85%
Divorce Settlement 85%
Unencumbered 85%


Business use for capital raising/remortgages does not include business start-ups.

Remortgage applications not accepted where the customer has owned the property for less than 6 months.

Adverse Credit

CCJs/Defaults : Accept:
1) Max 2 Defaults to a max of £500.00. These must be fully paid at least 24 months ago or over prior to application. This condition does not incur any rate loading.
2) Max 2 CCJs to a max of £500.00. These must be fully paid at least 24 months ago or over prior to application. This condition does not incur any rate loading.
3) Max 1 Defaults to a max of £250.00. These must be fully paid. This condition does not incur any rate loading.
4) Max 1 CCJs to a max of £250.00. These must be fully paid. This condition does not incur any rate loading.
Ignore:
1) CCJs which have been fully paid 24 months ago or over prior to application, and are under or up to £250.
2) Defaults which have been fully paid 24 months ago or over prior to application, and are under or up to £250.
3) CCJs which have been fully paid 72 months ago or over prior to application, and are under or up to £500.
4) Defaults which have been fully paid 72 months ago or over prior to application, and are under or up to £500.
Arrears : Accept:
1) Max 2 missed payments in the last 36 months. This condition does not incur any rate loading.
2) Max 1 missed payment in the last 12 months. This condition does not incur any rate loading.
Bankruptcy/IVAs : Accept:
1) IVA must be discharged at least 6 years prior to application. This does not incur any rate loading.
2) Bankruptcy must be discharged at least 6 years prior to application. This does not incur any rate loading.
Ignore:
1) Bankruptcy discharged at least 6 years ago or over.
2) IVA discharged at least 6 years ago or over.
Repossessions : Not accepted.

Repossessions not allowed.
Accept:
Max 2 satisfied CCJ's or Defaults up to a max of £500 WITHIN the last 2-6 years.
Max 1 satisfied CCJ or Default up to a max of £250 WITHIN the last 2 years.