Question about getting a mortgage
Discussion
Don't own a house yet (saving up for a deposit).
I have some employment options at the moment that I'm worried may affect my ability to get a mortgage later on...
So the question is:
If I have a low/unsteady (different every month) income, but my partner has a steady income, and our combined annual income is 30% of the value of the mortgage.... Will the fact that my income is unsteady affect our ability to get a mortgage?
It means there will be some months where my income is low and it pushes our combined income to less than 30%... And other months where it's more.
If necessary, I can arrange to have a higher/steady income for several months before we go looking for a mortgage - how many months will they actually care about?
I have some employment options at the moment that I'm worried may affect my ability to get a mortgage later on...
So the question is:
If I have a low/unsteady (different every month) income, but my partner has a steady income, and our combined annual income is 30% of the value of the mortgage.... Will the fact that my income is unsteady affect our ability to get a mortgage?
It means there will be some months where my income is low and it pushes our combined income to less than 30%... And other months where it's more.
If necessary, I can arrange to have a higher/steady income for several months before we go looking for a mortgage - how many months will they actually care about?
bigbob77 said:
And do you know how many months/years history they will be interested in?
If I have a consistent income for the 3 months before I apply, will they be happy? I heard somewhere they look back 2 years...
3 years ago I was in a well paid stable job I'd held for over a decade with a FTSE100 company. They still wanted;If I have a consistent income for the 3 months before I apply, will they be happy? I heard somewhere they look back 2 years...
My last P60.
My last pay statement.
My last bank statement showing the pay going in.
Written confirmation of my salary from my company.
Obviously thats only one lender, but it was a lot of proof they needed!
bigbob77 said:
And do you know how many months/years history they will be interested in?
If I have a consistent income for the 3 months before I apply, will they be happy? I heard somewhere they look back 2 years...
It depends.If I have a consistent income for the 3 months before I apply, will they be happy? I heard somewhere they look back 2 years...
Are you self employed it will be two years.
If you are employed then three months plus P60 would be the norm, but again, it depends ont he make up of your income.
With first direct earlier this year I had to send 3 months payslips, 3 months bank statements and last years P60.
Looking back it was quite a bizarre and uninvolved process. I phoned them saying I wanted to apply for a mortgage, they sent me a 4 page application form which I sent back with the documents above. About a week later I got the offer document and forms to set up a bank account. That was the last I heard from them until after we had moved and they told us when they would take the first mortgage payment. Other than the initial call which last about a minute I didn't actually speak to anyone at FD about it.
Looking back it was quite a bizarre and uninvolved process. I phoned them saying I wanted to apply for a mortgage, they sent me a 4 page application form which I sent back with the documents above. About a week later I got the offer document and forms to set up a bank account. That was the last I heard from them until after we had moved and they told us when they would take the first mortgage payment. Other than the initial call which last about a minute I didn't actually speak to anyone at FD about it.
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