Moving home - Mortgage with 100% commision

911bill

Hi All,

I'm looking to move home. I want to sell my current property and upsize with my wife on the mortgage.

I own my current property and it is mortgaged in my name only. I've since got married and want to move on and my wife and I want our first home together. I renewed my mortgage earlier this year with my bank, Barclays, it is a good rate of 1.93% and a few people have said it would be easiest to stick with them, my wife is with Barclays as well.

Now, I did have a quick check at comparison sites and I have been finding that the mortgage offers are pretty poor, this is because 70% of my pay is commission, the nature of my pay increases year on year and I have been in the job for 12 years with a year on year increase due to the nature of my work and minimal threat of seeing a decrease but I guess there is always risk. I have read that things have tightened up a bit so I am worried about not getting the mortgage I would like and after today, feeling pretty disappointed.

I find this all a bit of a learning curve so please forgive my ignorance. I would just like some advice really, I would like to know if there are brokers out there who will not halve/ignore my commission and if adding my wife on is ok.

I need to borrow more and reset the term to 25 years. Barclays online seem to ignore more than half of my commission online, so much so that I wouldn't even be able to buy my current place had I done it again.. :rotfl:

Thanks for any advice

Bill

haras_nosirrah

It isn't the brokers ignoring your commission. It is about the broker finding the right lender for your circumstances. There are lenders who will accept 100% commission subject to p60's confirming that it is sustainable

911bill

Thank you!

911bill

Just for reference.
Barclays look at 100% of commision, as long as on P60 and shown in last 3 payslips.

They multiply your total wage x5.

Hope this helps.

MortgageMamma

Barclays will only do 5x income if you earn above a certain threshold.

There are other lenders available with better affordability models than Barclays. It might be worth you having a chat with a knowledgeable broker and see what they can come up with. They should be able to do a cost/benefit analysis including any early repayment charges if you choose not to port your Barclays mortgage. Porting isn't always straightfoward - if you go it alone on this check out Barclays lending criteria regarding loan to values, property type, location, if there are any commercial businesses near to the new property etc.

MM

911bill

Thank you..

Just down from where I live I have found that there are brokers, or least places that advertise on the window 'mortgages'.
When I was on the call to Barclays, I did ask how concrete is this, I had just gone through wages, expenditure etc, they said pretty much.
If I did want to end early, they charge 3% of remaining amount.

Thank you very much for your info, it is worth me talkig to a broker as you pointed out just so I know I am getting the best deal, thank you!

CarbonImage

I have about 50% of my wages as commission and 5-10% overtime on any given month.

I went through a broker for my mortgage and he recommended RBS although did have other lenders that would've accepted 100% of commission/overtime as well.

I had to just provide my last 3 months' payslips and they took an average and multiplied by 12 to get my affordability.

If your commission is paid monthly, try and lump 3 good months together before you apply. I managed to convince my boss to pay me some extra commission early to bump up my figures for 3 months.

somethingcorporate

CarbonImage wrote: »

I have about 50% of my wages as commission and 5-10% overtime on any given month.

I went through a broker for my mortgage and he recommended RBS although did have other lenders that would've accepted 100% of commission/overtime as well.

I had to just provide my last 3 months' payslips and they took an average and multiplied by 12 to get my affordability.

If your commission is paid monthly, try and lump 3 good months together before you apply. I managed to convince my boss to pay me some extra commission early to bump up my figures for 3 months.

Manipulating your pay to make it look like you earn more than you do? What possibly could go wrong....:D