This Halloween we have our Tricks and Treats ready for when you call!
Do you have clients looking to borrow on a joint borrower, sole proprietor basis? We can help!
Jasmine is 25 years old, employed and earns £30,000. She has a 25% deposit and found a property worth £250,000 that she’s interested in but can’t afford a mortgage of £187,500 on her sole income.
Her dad, Michael, is 60 years old, employed and earns £65,000. He has a small residential mortgage balance joint with his wife of £55,000.
What happened next?
When assessing affordability, using Jasmine's income and a £150 loan pcm we discovered that:
- She can support a mortgage of £135,000 across a 35-year mortgage term
- Her dad has no debts other than his own mortgage balance and can support the remainder - being £52,500 across 10 years - taking him to his planned retirement age of 70.
So, what about the mortgage?
The mortgage is split in to two parts, meaning two separate mortgage payments but with a lower mortgage payment overall than if the total £187,500 borrowing was based entirely on the 10-year term.
The Newbury approach
- We can split the borrowing amount in two parts
- Affordability assessed on everyone’s income and commitments
- The term isn’t based solely on the elder applicants age, resulting in more comfortable mortgage payments
- For family-only relationships
- New instant chat service now available
- No credit scoring – all cases are assessed on individual merit
- Tailored underwriting with each case individually considered
- A dedicated BDM happy to help you on an individual basis
Contact us to discuss your client’s requirements today. Our Helpdesk is available 9am – 5pm, Monday to Friday.