Regular, varied overtime

wjr4

Hi

My boyfriend & I are looking to get a mortgage soon, we have most things sorted but not a mortgage adviser yet. I work for an IFA so can use our in-house mortgage adviser but she is on holiday at the moment so want to ask a quick question on here.

My boyfriend's basic salary is just under £21k, but he works overtime every week (and is paid weekly). The last 12 weeks add up to £2,250 (£798, £941, £511 for each 4 weeks). Do lenders take this all into account or will it be based on say half of it - for example? Every pay slip shows the overtime and he does work overtime every week (a lot of hours!!). We are looking to go with Halifax & their mortgage guarantee product - I've used our mortgage software to check the most competitive provider. However, I have no knowledge of lender's criteria's.

We are looking for a 95% mortgage, using help to buy mortgage guarantee (happy to just go ahead with a normal 95% mortgage but my research shows this is more expensive).

Mortgage would be £246,500 over 30 years (94.80% - just under the 95%). My basic salary is £28k. Credit files are good, £415pm fixed outgoings (loans).

Any help would be much appreciated!

Thank you

amnblog

Who has decided to go with Halifax? You? Or the broker?

You are earning about £50,000 total and want to borrow nearly £250,000 on a scheme that caps lending at 4.5 x income?

You should wait until your broker returns from holiday and leave matters to them.

wjr4

I had a quick look on our mortgage software to see what interest rates the lenders were offering.. I spoke with a different mortgage adviser a couple of months ago who said, based on the overtime, we could borrow up to £247k maximum.. Since then, my boyfriend's overtime has increased.. So the question was in relation to whether the overtime is fully taken into account or averaged, rather than how much we would like to borrow. If his overtime continues the way it has been recently, which it 90% will, he will be earning about £9,000 overtime for 2016/17.

cahillg81

Some lenders take 100% of o/t some take a proportion.

Trina90

My fiance and I both have regular varied overtime too. Got a mortgage with Nationwide last year for our first home. They took an average from our pageslips for overtime.

anto164

Our mortgage adviser took zero overtime as the basis of the calculation as it was not a guaranteed amount. I would possibly suggest that this is the view that the mortgage adviser would take.