Mortgage with partner on JSA

kittycatsam

Hi there

I wondered if anyone has any advice...

My partner has a house with no mortgage and we are planning on putting it up for sale. We have been looking to buy a new house were we would need to borrow around 120k. I also have a house which I rent out with about 30k equity in it but the rent just covers the mortgage with no profit.

My partner earns about 26500 and we have no debts at all. However I have just been made redundant and will be living off JSA and income insurance amounting to about 1100 a month until I find a new job or possibly go to Uni next September when I would get grants and bursaries of around £600 a month (plus student loans if needed)

Does anyone know if a mortgage would have to just be based on my partners income alone or would my income from benefits be taken in to account? I thought that alternatively he could get the mortgage in his sole name for the time being and put down extra income on the application from me paying rent. Would this work? We're worried that we may not be able to borrow the amount we really need for our dream house now although we can definitely afford the repayments.

Thanks for any constructive advice.

kittycatsam

Should just add, the LTV rate will be about 50% and we have savings enough from my redundancy to cover stamp duty, legal costs, moving costs etc with a couple of thousand left over to do any work required on the house.

_Andy_

The JSA etc won't be taken into account by any lender, you'll be limited to a few lenders who can do a high multiple (i.e. just your partners income).
You would be best off speaking to a whole of market broker.