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Are any providers offering 5.5x income at the moment?
Emmajhowe90
Posts: 16 Forumite
Hello,
House mover here looking to move from our first house to our next property and wanting to make a large jump from a £350k house to around a £650k one (we live on the south coast and that is the kind of money you need to get a bog standard 4 bed detached family home these days sadly!). We've been overpaying our current mortgage by double every month (due to salary increases and a lump sum of inheritance) and managed to cut the term from 35 years to 14 years in under 5 years. So we're only a few hundred short a month of paying a £650k mortgage monthly repayment anyway, which we can easily afford to extend to.
Our credit scores are both excellent, but it seems from speaking to our current provider (Nationwide) and a few independent brokers that due to the current climate a lot of lenders are being more restrictive with what they will offer at the moment. We really need a lender offering 5.5x income to get to that £650k figure we've got our hearts set on, it doesn't seem they take equity or current repayment levels, or even outgoings, into account at all at the moment and it's solely based on income alone.
At the start of the year there were lots of providers, Santander and Barclays being two, advertising 5.5x income mortgages and these have now disappeared. Does anyone have any good advice or know lenders/brokers to try who may have access to different exclusive deals not widely available? I feel like I'm wasting a lot of time going to local brokers who take a few days to come back with the same outcome.. has anyone else had any success in finding the deal they're after or am I displaying very wishful thinking given the covid economic situation at the moment? Desperate to take advantage of this cut to the stamp duty if we can, but prefer to make the biggest jump we can and not have to move again and pay out all the associated costs when we outgrow a house in 5 years time when family circumstances may have changed etc.
House mover here looking to move from our first house to our next property and wanting to make a large jump from a £350k house to around a £650k one (we live on the south coast and that is the kind of money you need to get a bog standard 4 bed detached family home these days sadly!). We've been overpaying our current mortgage by double every month (due to salary increases and a lump sum of inheritance) and managed to cut the term from 35 years to 14 years in under 5 years. So we're only a few hundred short a month of paying a £650k mortgage monthly repayment anyway, which we can easily afford to extend to.
Our credit scores are both excellent, but it seems from speaking to our current provider (Nationwide) and a few independent brokers that due to the current climate a lot of lenders are being more restrictive with what they will offer at the moment. We really need a lender offering 5.5x income to get to that £650k figure we've got our hearts set on, it doesn't seem they take equity or current repayment levels, or even outgoings, into account at all at the moment and it's solely based on income alone.
At the start of the year there were lots of providers, Santander and Barclays being two, advertising 5.5x income mortgages and these have now disappeared. Does anyone have any good advice or know lenders/brokers to try who may have access to different exclusive deals not widely available? I feel like I'm wasting a lot of time going to local brokers who take a few days to come back with the same outcome.. has anyone else had any success in finding the deal they're after or am I displaying very wishful thinking given the covid economic situation at the moment? Desperate to take advantage of this cut to the stamp duty if we can, but prefer to make the biggest jump we can and not have to move again and pay out all the associated costs when we outgrow a house in 5 years time when family circumstances may have changed etc.
0
Comments
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Barclays still do. Criteria is: (formatting is off but you get the idea)
Scenario
Maximum Income Multiple
1
Income of > = £75k (or joint income <=£100k) up to 85% LTV where loan is capital and interest
5.50x
0 -
Depending on your profession, Clydesdale and a few others offered 5.5x. In order to qualify you had to hold a professional qualification such as chartered accountant, lawyer or a doctor etc.0
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