I’ve been busy, very busy over the past couple of weeks and my blogging has had to take second place but during that time I’ve been harking back to the good ol’ days just lately; actually that’s a nonsense because I’m not sure they were any better than today, just different. However, the one good BC (before children) thing was having a mortgage and owning the house I lived in which is why I’ve been thinking about those days.
There are two reasons for these reminiscent moments, first of all it was dead easy to get a mortgage back in the 90s, you could approach virtually any lender with a small deposit and after the first few questions had been answered, it was a done deal. We used a mortgage broker who was keen to let everyone know he was a ‘Wing Commander’ in a previous life. His business cards bore the letters Wg Cdr and when we first met him and he gave us a brief resume, he put great emphasis on his past life. It always amused me but it must him given him the necessary gravitas to broker the deal.
That’s not to say he didn’t occasionally mould the facts to fit the form and money for a garden makeover was soon embedded in ‘essential home improvements’, but then no one doubted the integrity of our Top Gun adviser.
But on the other hand we were a child free, double income couple and the consequences of the greed of the big banks hadn’t yet emerged, so a new or an increase in mortgage was never a problem.
My other reason for looking back is the mortgage multiplier. Back then it was a simple 3⅓ x your annual salary and if that was enough to cover the loan you wanted then you were guaranteed a mortgage.
I worked for a London based credit insurance company, I had worked my way up the corporate leader and reached ‘middle management’. My salary was in the region of £28k and with London weighting, travel allowance and mortgage relief it soon went over the £32k mark. The mortgage I wanted was £90k; it was agreed within hours.
That was then and now is now.
I now have two children and up until recently, was on a zero hour contract. The fact that we have been paying a monthly rent that is bigger than most mortgage repayments is neither here n’or there. As far as the financial houses are concerned I am too big a risk.
On top of that they use far more complicated calculations and having dependents increases our risk factors. Add to that my current salary and the lenders run scared.
So that is why I’ve been harking back to the old days, but do you know what? I have two wonderful sons who I couldn’t love more than I do and who knows, now that I’m in full-time employment, maybe, just maybe there’s another Top Gun expert out there who can make thigs happen.