Is there a chance of getting a mortgage - our circumstances

Isthereachance

Sorry to be a taker already but is there a chance that my family will get a mortgage?

I'm full time permanently employed. I live up north so salaries aren't the highest but cost of living is pretty modest. My annual salary is £18800 but is due to go up to £19500 as of January (was thinking of applying for something now though). Wife's salary is £12000 and she gets £137 a month child benefit. We were looking at a house on the market that's going for £165,000. If we could get it for, let's say, £158,000 we would have a £15% deposit of £23700. We have a separate £2000 pot for fees. The problem is my wife's salary. She is on a fixed term contract with 5 months left to go. It's been extended twice and she has been told by her manager that 99% chance that it will be made permanent next year but obviously at the moment there is no way of telling a mortgage lender that.

If we were to go for this house is there a chance that we would get a bank to lend us the amount of money that we need? We're desperate to get out of our current living situation so would really like to try for this house if at all possible.

ACG

Its very tight on affordability and you would need your wifes income to get anywhere close.

It may be possible now, but your options are limited. If you waited until you had confirmation on her extension then you would probably have a few more options. If you really do need to do it sooner rather than later I think you need to speak to a broker who can sit down and do the sums in detail.

Thrugelmir

Isthereachance wrote: »

She is on a fixed term contract with 5 months left to go. It's been extended twice and she has been told by her manager that 99% chance that it will be made permanent next year but obviously at the moment there is no way of telling a mortgage lender that.

How long has your wife been employed there. By default after 2 years she'll become entitled to statutory entitlements as would any other employee. This is the normally the tipping point for retaining fixed term staff. Might be worth waiting to confirm the outcome.

Verix

This could work now possibly. Would depend on how long she has had the job and potentially if she has any history of doing something similar.


As above, it'd be worth a broker looking over this as you'd find it difficult hitting upon the right lender first time without guidance.

nirajn123

No experience of FT contract, but as a contractor working through a Ltd company myself I managed to get a mortgage 3 years ago on a contract that had a 2 month left on it, this was on top of having just a years accounts - Mortgage amount was significantly higher.

Having failed to get a smaller mortgage previously through a high street agent based advisor, most important thing I found is the quality of mortgage broker that matters. You need to find someone who has dealt with a mortgages for FT contractor before and able to give you assurance (and perhaps chat directly to the underwriter) before you spend any money on searches etc.

Go to few advisors and ask if they have experience of dealing with cases such as yours - I am sure you'll find the right one quickly. I would not risk spending money on searches etc. even if they say you'll get it but have no experience of FT contracts.

You obviously need to consider if you can still afford the mortgage in the long term.