FTB Mortgage & Salary Increase Timing

CarBuyer

Hi all


Background: I am a trainee solicitor, currently earning c.£38,000. I qualify in early April, but will start receiving a higher salary (c.£60,000) as of next Friday. It is a permament position and I have a signed employment contract.


Problem: I am looking to buy a house outside of London with my girlfriend. She earns around £30,000. We have seen a few places that interest us for anywhere between £280,000 and £400,000, but I have been on a few affordability calculators online to see what we could borrow and they range massively from £222,000 to £434,000(!), assuming a 10% deposit. This assumes the higher salary I will be earning.


Issue: How do you think a lender would view a "positive" change in circumstances (i.e. my salary increase)? Would a signed employment contract be sufficient evidence of earnings in order to unlock higher mortgage amounts now?


I'd like to know that we could borrow x amount and then if we see a lower priced house we can make an offer quickly. However, I don't want to be too hasty in making credit applications now if "larger" (and better rated) mortgages might be available in 3 or even 1 months' time, should the employment contract not be sufficient proof of earnings.


Thanks for any replies!

shortcrust

My NHS contracts were accepted by Halifax as proof of income. I applied pretty much straight after a promotion.

cashbackproblems

If you haven't yet had an offer accepted surely your income proofs will show the new amount by next week?

ACG

Assuming you make an application after your first pay slip showing the new wage is printed, you will be fine.

If you make an application before next friday, then you would need to speak to the lender before applying.

In all honesty, with it being so close I would be very surprised if any lender had an issue with it.