Mortgage on Temp Contract

lnjww

Hi there first time poster. Me and my Fianc! have a £30,000 deposit and we can get a house for £165,000-£170,000 based on our min wages, the only problem is i am on a temp contract, will the banks allow us to use this temp contract for myself and fianc! on a perm contract to get a mortgage? If i do loose my job (which is highly doubtful) my partner can still more then afford the mortgage with plenty to spare and can prove this. Any advice will be grateful as were close to putting offers in.

holly_hobby

If the main applicant (your partner) is employed on a perm contract, and their basic income (as not all lenders accept 100% of bonus or OT payments unless gted) - is sufficient to service the mge, then the basis of your own employment is not really paramount.

If you go down as 2nd applicant for uw purposes, you make it clear to the lender/broker that you only want the affordability based on the main applicants income & his employment status. Some lenders will be happy to do this, others will take the opinion that as all mortgagors are jointly and severally (individually) liable for the mge, then the 2nd app must meet standard employment criteria regardless of whether their income is req for affordability.

In that instance, you simply don't apply as 2nd app, but instead go named as additional perm resident over the age of 17. (consent to vacate disclaimer will be reqd by the lender).

Hope this helps

Holly

Thrugelmir

When does your contract expire?

How long have you been working with your current employer in this position?