University researcher on contract

Noctu

If anyone could shed any light on this I'd be really grateful.

I'm about to start work as a university researcher, full time, possibly on a 2 year contract. DH is permanently employed, full time. Prior to this post I have not been working (just finished PhD).

Could anyone give me an indication of which lenders have the lowest stipulation (i.e. kindest criteria!!) of how long I need to be in the job before they'll lend to us - bearing in mind I'm on a contract (if that changes anything)? and the amount of time they require left on my contract?

Not sure if it matters but the situation is we currently have a mortgage and looking to move home. Credit score fine etc.

We were looking at Natwest as we already bank with them and they will lend us what we need, in principle - but happy to go to any main lender really.

Many thanks.

aha77

Hi,

There are a number of high street lenders that will accept contract work. Halifax, Nationwide and CO-OP/Britannia to name three. They all vary on the terms of the contract, such as has it ever been renewed, length of time remaining, etc. I'm also on a University research contract and my wife works in the public sector on contracts also. We went with CO-OP last year. All they require is a minimum 12 month contract with 6 months remaining when you apply. This may have changed since the rules were made stricter but I don't think so. Also, if you are in a university town such as Cambridge its worth approaching the regional building society in your area as they are more accustomed to university contracts and how they work.

Zoology_Dragon

We went with the PO for the same reason but their turnaround time is horrendous at the moment. I suggest speaking to a broker and seeing what they suggest. We used L&C who have been excellent.

Mortgage_Mark_2

I'd suggest a contract specialist broker would be a good port of call...

Noctu

Mortgage_Mark wrote: »

I'd suggest a contract specialist broker would be a good port of call...

Cheers Mark - don't suppose you know of any do you? This is all fairly new to me.

Noctu

aha77 wrote: »

Hi,

There are a number of high street lenders that will accept contract work. Halifax, Nationwide and CO-OP/Britannia to name three. They all vary on the terms of the contract, such as has it ever been renewed, length of time remaining, etc. I'm also on a University research contract and my wife works in the public sector on contracts also. We went with CO-OP last year. All they require is a minimum 12 month contract with 6 months remaining when you apply. This may have changed since the rules were made stricter but I don't think so. Also, if you are in a university town such as Cambridge its worth approaching the regional building society in your area as they are more accustomed to university contracts and how they work.

Thanks very much for the info - been looking at the lending criteria and it looks fairly promising.

Also cheers for the heads up re the regional building society, I'll be working in Durham which is covered by Newcastle Building Society who seem to give leeway for 'professionals' (doctors, teachers - hoping they include health scientists like myself!) on contracts, and say they will treat them as permanently employed - depends on underwriting of course but that's encouraging to know.

Zoology_Dragon

I know plenty of people in my situation (academic on contract) who've obtained mortgages with no difficulty so I'm sure it'll be fine but a broker is definitely a good idea.

Noctu

Zoology_Dragon wrote: »

I know plenty of people in my situation (academic on contract) who've obtained mortgages with no difficulty so I'm sure it'll be fine but a broker is definitely a good idea.

Thanks. I think our issue is that we're very keen to move ASAP (we live in a poor area) so we were wondering about criteria regarding how long I need to have had the contract before they'll lend. It seems I need to have been in it for 12 months according to Nationwide & Halifax - hoping to find a lender who will accept a shorter time. I think I will be speaking to L&C as you suggested!

drdpj

When you say contract, do you mean "fixed term" as a research associate (usually the case with post-doc positions), rather than contracting (a specific contract to do a specific piece of work as is often found inIT etc)? One of the brokers will no doubt be able to advise, but I know many post-docs who've been able to get mortgages (even since MMR) on fixed term contracts.

Noctu

drdpj wrote: »

When you say contract, do you mean "fixed term" as a research associate (usually the case with post-doc positions), rather than contracting (a specific contract to do a specific piece of work as is often found inIT etc)? One of the brokers will no doubt be able to advise, but I know many post-docs who've been able to get mortgages (even since MMR) on fixed term contracts.

Hi,
Yes as in a post-doc RA :-)
This is the issue I've been having - if I search for 'mortgages on fixed term contracts' I get loads of stuff about contracting, e.g. in IT as you mention! & not much specific to my situation, which surely must be more prevalent than solely in post-doc world...

Mortgage_Mark_2

Noctu wrote: »

Cheers Mark - don't suppose you know of any do you? This is all fairly new to me.

I'm not allowed to 'lead' you by mentioning names however a google search of 'contractor mortgage broker' would do the trick.