Applying for a mortgage with potential physical disability looming

mgmt1969

Hello,

I'm a 46 year old expat that has been living in London for a few years.
I would like to apply for a first-time mortgage that, given my age, I will be re-paying until my retirement.
However, I have a health condition that causes me back pain, among other symptoms. I'm worried that this may get worse over the years, to the point where I become unable to work.
If that happens, I face the prospect of repossession and possible homelessness.
I have thought of buying Income Protection Insurance but they don't cover pre-existing medical conditions so that is not really a solution.
I would be thankful for any advice. I've been literally losing my sleep over this.

Thank you,
Manuel

AnotherJoe

Move out of London to somewhere house prices are more affordable and you can pay off your mortgage within a time period that's more realistic in terms of what you think your working life will be?

ACG

There is not really anything anyone can do. If you buy a property it is your job to pay the Mortgage on time.

There is Support for Mortgage Interest (SMI) but if it has not already, that will be changing and rather than becoming a benefit as such, it becomes a benefit and a loan, meaning at some point it will need to be paid back. It may also affect other benefits you could become entitled to.

As ever with any sort of protection policies, the time to take them out is before you become ill.

MortgageMamma

mgmt1969


I have some experience in this situation, not of a client buying a property with a degenerative condition but my own. I have an arthritic spin with 4 torn and displaced discs that press on nerves and at times it can cause horrendous pain. I also suffer from fibromyalgia which sort of presents itself in cycles.


I just wanted to say I went for 5 years or so feeling I couldn't return to work because of my condition (and at the time I couldn't due to meds that made me dopey). Eventually the NHS got a good balance of meds for me where I have anaesthetic injections in my spine, strong anti inflammatory (pregabalin) and some stronger fast acting back up meds for when I'm desperate. I'm not pain free but I manage.


I've been fairly stable on the combination since November 2014 with just a handful of flare ups. I have the advantage of having my office at home so have flexibility to work my own hours and I only take on a limited number of cases per month.


I know this may not be 100% relevant for you, but if your mind is sound you can always make changes to your work environment to ensure you can continue working. If its not possible to do this in your current occupation perhaps you could consider retraining for something else whilst you are still well enough?


If you buy a home big enough you could also have lodgers to help with costs, or rent your driveway etc.


I think with careful long term planning you could make a success of home ownership so long as you don't overstretch your affordability.


Best wishes,


MM


Ps - its also worth pointing out that some long term benefits for disability can be counted for mortgage purposes if the award is a fairly long one. ESA and Personal Independent Payment/Disability Living Allowance, also carers allowance.