First Time Buyer Advice

Chris848

Hi,
I'm a first time buyer and I've got a few questions which I'd love advice for!

Firstly, I'm currently travelling on a 6 month sabbatical from work and would like to get a mortgage as soon as I return in January. I return to my company in January and I've noticed that mortgages seem to require a minimum period of 3-6 months in work before you can apply for a mortgage. Obviously, being on a sabbatical for 6 months, I won't have any pay slips from the previous 6 months, but as I am returning to my previous company will I be classed as 'unemployed' for the past 6 months and have trouble getting a mortgage immediately?

Secondly, my salary will be increasing from £30k to £37k on my return in January. I'd like my mortgage to be based on £37k but will this be possible with no payslips showing this? Would a letter from my employer confirming my salary cover this?

Thanks so much for any advice! :beer:

Chris

betmunch

A decent broker will have no trouble placing your case based on the info you have given.

I would suggest you make an appointment to see a whole of market broker as soon as you are ready to start looking for a house.

GMS

You would not be classed as unemployed but could not be classed as being on leave either as you are receiving no pay.

Cannot see it being too much of a problem with the majority of lenders. If your salary is 37k at the time then that is teh figure the mortgage lender would be provided with.

Speak to a 'Whole of Market' broker when you are ready.

herbiesjp

In theory it can be done.

However you have not stated any figures like property prices, deposit availble or credit history, to make a more informed observation.

Chris848

Thanks for the responses all, in response to Herbies questions, my deposit is £25k and I am looking for a property between £200- 215k. My credit history is good with no prior issues.

Thanks,
Chris

TrickyDicky

Im guessing you havent actually found somewhere yet. It can take a few months to actually find a place you want to buy, so by the time you actually apply for the mortgage you'll have to payslips to send to the mortgage company (and maybe a little more deposit).

herbiesjp

What will limit your mortgage potential, and mortgage choices, is the fact you will enter into 90% mortgage deals and the stricter underwriting that entails.

However, you may still have some options open.

Get in contact with a good broker, who will tell you what is available to you.

Chris848

Thanks for all the advice guys, much appreciated.

shortchanged_2

You are looking at nearly 5 times your earning multiple at that rate which is going to be difficult to find in the current climate. Most lenders have clamped down on this since the recession.