Find a mortgage on Share to Buy

Stability of address isn’t necessarily important in regards to whether you can get a mortgage, but it could make a difference to your credit score. For that reason, it is important to make sure that all of your accounts and credit are in your current address, as well as your driving licence. You should also be on the electoral register at your current address, and having your name on the council tax is also helpful.

There is no minimum income to qualify for a mortgage, however, your income will need to be sufficient to show that you can maintain the costs associated with the property you want to buy, based on an affordability calculator used by the lender. The calculations used by mortgage lenders are not all the same and therefore different lenders may offer different loan amounts based on the same salary.

This will depend on how long you have been earning this income and what proportion of your income is made up of overtime. Different lenders will also have different rules on overtime and many may ask for up to a year’s proof.

Different lenders have different rules on this, although most would need you to provide three months’ payslips to ensure you can sustain the relevant housing costs. If you need to obtain a mortgage, you might need to wait three to six months before you can apply for a mortgage. A few lenders will accept based on a signed contract, some will accept just after you have started with your new employer, some will want to wait until you have received your first payslip, and some will want to know you are out of probation.

Most mortgage lenders will accept a single mortgage applicant for a joint purchase, however, the joint purchaser’s income or financial contribution won’t be taken into account when assessing affordability. It is also possible that the mortgage lender will reduce the amount of the loan on the basis that the applicant for the mortgage is financially supporting the joint purchaser.

Lenders may also require that the person not on the mortgage application signs an agreement that they will not oppose an application for repossession, should the mortgage fall in arrears.

No – your mortgage can only go towards the purchase of the property itself, not towards Stamp Duty Land Tax.

County Court Judgements would not mean you were necessarily declined by all lenders, but it is likely that you’ll be required to pay a higher rate of interest. We would suggest speaking with a financial advisor or mortgage broker to discuss the options available to you.

There are various criteria taken into consideration when applying for a mortgage which means there are a few reasons why an application may be rejected. If you are working with a mortgage broker or financial advisor, it is their job to look into your situation in enough detail to ensure that they’re placing you with a lender that will accept your application.

Any unusual factors in your situation will most likely reduce the number of lenders that would accept your application, which may mean you don’t have access to the very best rate. However, no matter how well the advisor has done their job, the most common stage that a lender will decline is when the credit score is completed.

While not every lender will offer Shared Ownership mortgages, most will!

You can use our mortgage comparison tool to get an idea of the Shared Ownership mortgages available on the market. To apply for a mortgage you can then contact the lender directly, or speak with a specialist Shared Ownership mortgage broker.

As Shared Ownership homes are usually grant-funded, the relevant housing provider would need to be able to confirm that you meet the eligibility requirements. Therefore, they may require you to obtain a mortgage as proof of this.

Only those who are purchasing the home can be on the mortgage application, and all applicants must live at the property as their main residence. If a family member wants to help you buy a home, but won’t be purchasing the property with you, they can offer money towards your deposit by way of a non-repayable gift.

Unless you can afford to pay for the further shares from savings, staircasing will normally involve either taking a further advance from your current mortgage lender, or a new mortgage for both your existing mortgage and new shares from another lender. As your property is unlikely to be classified as a new-build, and the level of your deposit/equity may be a different percentage of your new borrowing, a better deal is often obtained with a re-mortgage.

While many buyers find it useful to work with a mortgage broker when purchasing their first home, it isn’t required!

There can be considerable variations in fees charged by mortgage brokers. Some do not charge at all, while others will charge for a percentage of the mortgage loan or a fixed amount, so it might be beneficial to get multiple quotes when you’re looking to appoint a broker.

While most housing providers will have a panel of mortgage brokers they can recommend, and they may require you to use them for your initial affordability assessment, you do not have to use that broker for the whole process. However, we would suggest you appoint a specialist broker who has experience if you are buying through affordable homeownership schemes such as Shared Ownership.

To find out if you meet a lender’s affordability calculations and lending criteria, you can either contact your bank/lender directly or discuss your finances with a mortgage broker. A mortgage broker may charge a fee but will be able to assist you with finding a suitable mortgage, even if your first choice is not available, as well as arrange an agreement in principle.

A qualified mortgage broker is essentially a financial advisor that specialises in mortgages only. They ensure you find the right mortgage with rates that suit your budget, and their expert knowledge of the housing market means they can identify the best lenders and mortgage deals out there. Mortgage brokers have a duty of care towards you, meaning they must be able to justify any recommendations they make.

An Independent Financial Advisor (IFA) will recommend several products. They can access the whole of the financial market and will have a knowledge of all financial areas (investments, pensions, insurance, etc) to match the best product to your personal situation. They will give you impartial, unrestricted advice that considers every financial product on the relevant market. An IFA will do more than simply tell you where to put your money as their advice is aimed to make your money work for you and help you achieve your goals in life.

Once you have found a property that you’d like to buy, the relevant housing association will invite you to attend a financial assessment. Once completed, you’ll know the share that you’ll be buying and therefore the monthly rent payable at the outset, and can start to think about your mortgage options. If you are using a mortgage broker, you should contact them at this stage to start looking into suitable mortgage options.