Every application is assessed, and so if you fall outside of the standard lending terms, it's likely you will be rejected. Here are the five most common scenarios.
- Nationwide assesses the property value at lower than the purchase price.
Valuations returned at lower than the mortgage value will result in a mortgage application rejection. The reason is that the bank isn't confident they'll get back the money they have loaned if the property were repossessed.
There are many options here, from appointing an independent surveyor and contacting the Revolution Brokers team for help commissioning a valuation report that supports your application.
- There are issues with your credit file.
Nationwide mortgage rejections are often based on the credit assessment. This process happens after the agreement in principle stage, so you can be refused at any time up to the invitation to make a complete application.
If you have CCJ's on your file, you can sometimes get a Nationwide mortgage depending on when they occurred, but other credit problems may result in a rejection.
- You cannot provide sufficient address history.
The bank will request at least three years of address history in the UK to consider any mortgage applicant. If you don't have enough history or haven't lived in the UK long enough, you'll likely be turned down.
- Your income is based on bonuses or commissions.
Like many high street banks, Nationwide refuses to include bonuses or commissions in your annual earnings calculation - meaning they will likely reject an application based on this income to keep up with the mortgage repayments.
They will also disregard any regular overtime. If you earn bonuses or commissions in addition to basic pay, it's advisable to contact Revolution for help identifying a more suitable lender.
- You have been self-employed for less than two years.
Nationwide will lend to self-employed people but will need filed accounts for at least two years. That is an absolute minimum, so you either need to wait until you have a more extended trading history or apply to a mortgage provider with greater flexibility.
In any of these circumstances, you will likely find a mortgage approval from a more appropriate lender. For example, some of the lenders we work with specialise in self-employed mortgage deals.
Others are happy lending to professionals who earn their income on a bonus basis, and more will be flexible in how many years of address history they need.
2023-05-09 
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