How many x Salary for mortgage?

Hartson_2

I'm currently training as a lawyer on a two year contract, after which time the job contract becomes permanent (either at the same firm, or a different one).

I'm looking to get a mortgage at some point in order to buy a two bedroom flat somewhere in London.

First question is how many multiples of my annual salary can I generally borrow? I realise it probably varies, but is there a rule of thumb?

Second question is do I need to wait until I have a permanent job contract, or would I be able to get a mortgage based on a fixed-term job contract?

Many thanks for any information.

Yorkie1

How far are you through your training period? Does it state in your training contract that you will definitely be offered a permanent position with your current employer upon successful completion of the training position? Or are you just confident that you will be able to find a job in another firm if you are not retained?

Thrugelmir

Once qualified you will find that are lenders that specialise in lending to professionals.

jamesml

Thrugelmir wrote: »

Once qualified you will find that are lenders that specialise in lending to professionals.

Do the rates/lending criteria etc actually change that much when using one of these specialist lenders? I have heard about them before but never really considered using one because I wasn't sure how much more beneficial they would be.

Hartson_2

I am not guaranteed a permanent job at my firm on qualification. I am however confident that I would, if unsuccessful at my firm, get a job somewhere else. The firm is in top-10 globally, so I would cautiously like to hope that even if I didn't get a job at the same firm, my training would hopefully allow me to get a job elsewhere.

So is the general/vague answer to wait until qualification? This will be in 2015 and I would be aged 25.

And is the general rule that you can borrow three times your salary?

EMac_2

Professionals can sometimes borrow a bit more, salary multiples aren't used so much anymore and it is now based on an affordability calculation taking into consideration all your circumstances and these vary between lenders. You can still say you can get between 3-5 times your salary depending on other commitments but sometimes professionals can get a bit more. I'd suggest you speak to a broker as there may be mortgages available during your training which would suit you at the moment. Best of luck

Thrugelmir

Hartson wrote: »

And is the general rule that you can borrow three times your salary?

If your were sensible then around 3 times annual salary would be a realistic objective.

greenface

How many days or weeks have you worked for this company so far ?