Mortgage on PhD stipend ?

motherofstudents

Just wondering if anyone knows of any lenders who will take a PhD stipend into consideration for a mortgage. My son will have the stipend which is tax free and his girlfriend is a teacher. They have tried Lloyds TSB as they are doing a 'helping hand' which only needs a 5% deposit but they could not borrow enough to actually buy a house. If they had a 10% deposit, I assume that would be better but is it worth them trying to buy now or waiting another 4 years until he finishes his PhD ? Thank you..

_Andy_

No idea without figures

Incomes?
Property values?

holly_hobby

Very limited market Nat West and HSBC were involved (although I think HSBC may have recently withdrawn).

Obv they accepting stipend income is one thing, it being sufficient to support the mge reqd is another thing altogether !

Anyhoo, tell your Son to try the above 2 lenders.

Hope this helps

Holly

gallivant

My wife and I have also been searching for a mortgage that will take into account her stipend that she gets for her doctorate studies as my salary alone does not quite get the house we want.

We have tried Tesco, HSBC, First Direct, Barclays, Post Office, C&G, YBS, Britannia, Halifax and Nationwide and all said no.

Went through a broker and they managed to only find Halifax to agree but we had to have a 15% deposit and it would only take into account about 60% of her stipend. This is just enough to get the house we want so it was fine for us.

Best of luck.

lisag2013

Hi there,

I'm a PhD student and I've had a mortgage approved with Britania's graduate mortgage - they didn't have a problem with my stipend. Am not using this as we've decided to go with my partner's earnings, but worth looking into I think!

Lisa

gallivant

Following on from the above post I tried Brittania again and they accepted the stipend in the calculation.

What is even better was that their rate was 3.59% if we also moved bank account saving us £100 a month.

I guess it depends on who you get through to on the phone.

Thanks to the above poster.