Mortgages and pension salary sacrifice

MaxiRobriguez

Hello -

Does anyone have any experience on how mortgage providers factor in people who sacrifice a lot of money into workplace salary sacrifice schemes?

My payslips clearly show the pension contribution so I can prove my gross salary, but would my borrowing amount be limited to 4.5 net pay?

If there is an impact, is there anyway to understand how the different providers deal with it (ie, which providers use net rather than gross, or how providers come to decisions). I know the actual formula's per provider won't be available so I guess I'm looking for anecdotal evidence from others here.

Cheers.

ACG

Most lenders will ignore pension contributions as it is not a contractual obligation - ie if things become tight, you coudl stop paying in to the pension. 

MaxiRobriguez

ACG said:

Most lenders will ignore pension contributions as it is not a contractual obligation - ie if things become tight, you coudl stop paying in to the pension. 

Thank you.