We take into account your entire income structure, including bonuses, carried interest, company cash flow and foreign currency. There is no requirement to have a portfolio of savings or investments with us to apply for a remortgage. “A house is an asset, but it’s not a liquid asset,” highlights Wakkak. So you shouldn’t count on it as a pure source of income to finance your retirement. According to UK Finance’s mortgage lending trends, in May 2019, 21,370 new remortgages with additional borrowing was nearly 20% more than in the same month of the previous year. It is good practice to 物業轉按 every few years to ensure you are on the best deal and are not paying over the odds.

Some lenders will stipulate a minimum income for borrowers, often between £15,000 and £20,000. There are, however, many lenders who don’t stipulate a minimum income for their applicants. In modern times, there are a number of mortgage options that self-employed borrowers can choose from. The tradition has always been for lenders to ask for 3 years’ of business accounting history, but many lenders today will be willing to accept only 1 year of accounts.

Our experts work efficiently, liaising with banks and other mortgage lenders to make your remortgage as simple and stress-free as possible. Think carefully about remortgaging and locking into a new deal with large early repayment charges if you’re thinking of moving house in the foreseeable future. When you remortgage, the lower the loan-to-value you need, the more deals might be available to you – which should get you cheaper mortgage deals. A remortgage is when you apply for a new mortgage with a different lender, but stay in your current home. It’s not the same as some people’s remortgage definition of borrowing more money from their current lender.

In addition to the category your property falls into, your mortgage lender might also be interested in its build type. Most lenders prefer properties made from bricks and mortar as anything else would normally be considered ‘non-standard’ construction. However, there are mortgage providers who specialise in unusual buildings and offer bespoke deals on them. Your mortgage terms will say whether you can let your property.

Your new mortgage provider will need to know how much your current property is worth. You could find out an estimated value using online valuation tools or asking an estate agent to provide a valuation . Your home or property may be repossessed if you do not keep up repayments on your mortgage. The content on this page is guidance only and does not constitute advice.

Some buy to let lenders will lend up to a maximum loan to value of 85% and affordability is based on the level of rental income that can be achieved by the property. If you aren’t earning enough to qualify for the mortgage amount you need, there are lenders who specialise in low-income customers. These mortgage providers may allow you to declare supplemental sources, such as benefits and assets, in addition to your annual salary to beef up your borrowing potential. They are also known to be more flexible and judge applications on their overall strength, rather than just the numbers on the borrower’s wage slip. The lender will arrange a valuation, which the customer generally pays for, although some are included. This simply confirms the house is worth the amount you’re asking to borrow.

Naturally, different lenders apply the new rules in different ways, and consequently the market has become increasingly complex. There can be significant differences between lenders in terms of the way they assess a loan. The expert advisers at Think Plutus work hard to stay on top of the latest developments so we understand all the options. We can guide you through the entire process to get the best outcome possible. If done right, remortgaging can be a good way to rebuild your credit history.

A straightforward product transfer won’t usually involve as much admin. If your financial situation has worsened since you applied for your existing mortgage, or if your property has dropped in value, you may struggle to find cheaper remortgage rates. If your income has fallen or your credit score has dropped, remortgaging might be difficult.

Some lenders will only require you to have completed the probationary period, and there will even be lenders who will consider your application from the very first day in a new job. This is a significant difference, so it is definitely worth considering. By reducing your existing credit commitments before applying, you could greatly increase the amount you are able to borrow by remortgaging. Again, there are many lenders and even more options on offer from them. Given the many considerations, we recommend speaking to Think Plutus for guidance and advice to make the best possible decision.