Advise please - Which lenders will consider agency income

da2396

Hi,

This is my first post and I really hope someone can help. I have visited 2 mortgage brokers with limited success. My problem is that a significant proportion of my total income is from agency work, which I do alongside my permenant full time job. I work as a health care assistant for an agency, and although I have a permenant contract with them ad have done for almost 2 years, I am being told that the vast majority of lenders will not consider this as part of my income, as it is agency and not completely guaranteed income.

To clarify, I have had consistently high earnings from this agency work for almost 2 year, and have payslips and P60s to prove it. The work is arranged on a shift by shift basis i.e. I give them my availability and they find shifts for me to cover, which I can accept or decline.

I hae found my dream house and am desperate to buy, so far only one lender has agreed to take this income into account in order to lend me enough money on an 85% LTV. The brokers I have seen have not been particularly helpful in finding other lenders so I am going to approach lenders myself.

Does anyone have experience of this kind of situation and can anyone advise which mortgage lenders to approach that are likely to consider all, or at least some of my agency income as part of my total income.

Any help would be enormously appreciated, my dream house awaits...

herbiesjp

THe problem is, some lender will take into account and other will not.

And out of the ones that do allow it, some may not take the full amount into account i.e. only 50% of that agency income

You have not posted any figures so difficult to say.

What is the property price?
What is the annual guaranteed income?
What is the annual agency work?
Do you have any other debts (card/loans/HP etc)?

At 85% though, options are limited, which could be the reason why it has been difficult to place your mortgage

Conrad

I managed to tuck one of these away with Nationwide and the rep from C & G told me he has done these.

In the end lenders have to lend responsibly, and don;t want you using the defence 'you we aware my agency work was not guaranteed' in the event you lose that work and stop paying the mortgage.

da2396

Thanks so much for your reply.

In answer to your questions:

Property price 140k.
Annual guaranteed income 23k
Annual agency work income 8k
Debt 6k on 0% credit card.
This will be my 2nd mortgage as I am converting my current 75k mortgage into a buy to let.

I was just wondering if anyone could suggest mortgage lenders that would be more likely to accept this agency income.Even if they only took 50% into account (which seemsfair actually) this would help things. Any ideas?

herbiesjp

da2396 wrote: »

Debt 6k on 0% credit card.
This will be my 2nd mortgage as I am converting my current 75k mortgage into a buy to let.

The £6k debt will make it even harder, as that will impact on your total mortgage amount available.

The fact it is a Let To Buy scenario further complicates the matter

So there are complications on a few fronts

I think you might be better off discussing with another whole of market adviser to see if this whole scenario is workable, in a way that does not cuase you greater hardship as a result - for example if the first property is not let out how would you cope?