Mortgages - Main Income CTC/CB?

olgadapolga

Hi,

Does anyone know if any mortgage providers will lend to those who's main income comprises of child tax credit and child benefit? Only looking for a small mortgage, approx 10% of property value (the other 90% is from sale of a house several years ago).

Thanks

glosoli

I don't know for certain but I would be surprised if it was possible through any main stream lender.

The issue with low incomes is that any net income is wiped out by "sustenance" expenditure, i.e figures used based on data from the ONS based on the number of adults and dependants in the household, used by lenders to assess affordability, so the mortgage could very well be determined to be unaffordable even before looking at any mortgage repayments. Not to mention benefit income is at the mercy of the next government budget.

What is your net income and how much are you actually looking to borrow?