Mortgage temporary employment contract?

allanwhyte77

Hi,
I wonder if anyone can advise me. My partner and I would like to move house in the spring, I have a property to sell and we would like to get a joint mortgage together. The equity from the sale of my property would cover about half of the purchase price and we would be borrowing about 3 times our joint salaries for the other half.

We both earn about the same amount, the question I'd like to ask is, althought I have been with my present employer for eleven years and have a permenant contract, my partner has only recently finished university and has a temporary contract with his employer. Would we be considered for a mortage under these circumstances? We would be using an independent mortgage adviser and would be hoping to get the best deal available on the market at the time.

Would we better waiting until he has a permanent contract before we will get a good deal? We both have good credit records.

Thanks in advance.

Allan

Qual123

you will be a much lower risk when your partner has a permanent contract, but if you have a good credit record and are only looking for a 50% LTV rate then you will be low risk anyway. I would go and see a mortgage advisor now and they will be able to look into your situation further, this could avoid disappoint in the spring.

homer_j_3

I believe that you should wait until you are closer to the point of putting your house on the market or even it being on the market.

Going to see an adviser now will achieve a couple of things - peace of mind that you can get a mortgage for your circumstances and an Idea of what it will costs.

The 2 problems with this is that - interest rates and products change so the price today could be completely different to the price next spring and that the basis of which your partner is employed could have changed by that point.

If you put the the house on the market next spring, it could take months to sell so you need to factor this in to rates etc.

Just to clarify - independent advisers offer the facility to charge a fee and rebate commission or just receive the commission. If the adviser states they are independent but takes fee and commission - then they are not independent.

allanwhyte77

Thank you very much for the advice. I would hope we wouldn't be forced down the self certificate route by an adviser if so we would rather wait till we could be offered a deal form a high street lender.

Our situation is we both earn £16500 pa (£33k total) I expect to have as a conservative estamate, 70k equity from my sale after fees and would like to borrow about 90k for a property of about 150k.

My partner has temporary contract of 10 months but should be able to progress easily to another job in his field. His student loans are about 15k.

homer_j_3

It can be done at the moment without self certification. BUT the market is going through a rough time at the moment whilst some corrections take place and depending on how these corrections go, it could impact on your ability to do what you want, hence why I would say that it might be better to wait closer to the time when the information you receive will be more likely to be the most accurate.