mortgage

First-Time Buyer Case Study: Mortgage Approved on a PhD Stipend

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The Client The clients were a couple looking to purchase their first home. One partner was leaving employment to take up a research position, furthering their qualifications and long-term earning […]

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The Client

The clients were a couple looking to purchase their first home. One partner was leaving employment to take up a research position, furthering their qualifications and long-term earning potential. This meant they would no longer have an earned income for the duration of their studies.

The Scenario

With only one income remaining, the couple could not afford a property in their area. The client pursuing further study was due to receive a non-taxable stipend to support their research, but several banks had already turned the couple away, saying they could not accept this type of income at all.

The Solution

We secured the clients a mortgage with a high street bank on a low, fixed five-year rate. The lender was willing to accept the stipend income, taking the view that the client’s job prospects and future earnings would improve significantly once qualified, reducing the long-term risk of lending against a temporarily reduced income.

The Outcome

The clients had expected to rent for the full three years of the research programme. Instead, they are now settled in their new family home. This case shows the value of working with a whole-of-market residential mortgage broker with the reach to find lenders willing to work with non-standard incomes and arrangements that high street banks decline outright.

Frequently Asked Questions

Can I get a mortgage if my income is a PhD stipend or studentship?

Yes, though not every lender will accept this type of income.
Some high street lenders decline stipend income outright, while others will consider it, particularly where future earning potential is strong once the qualification is complete.

Will lenders accept non-taxable income for a mortgage?

Some will, though it depends on the lender and how the income is evidenced.
Non-taxable income such as a research stipend still needs to be documented clearly, and not every lender’s policy allows for it.

Does a temporary drop in income during study affect mortgage eligibility?

It can, but a strong future earnings case can offset this with the right lender.
Lenders willing to consider this type of case often look at the qualification being pursued and what it is likely to lead to, not just the income during the study period itself.

Why would a bank decline standard income types like a stipend?

Many mainstream lenders only have policies built around salaried or self-employed income.
A stipend does not fit either category cleanly, so automated criteria often reject it even where the underlying case is strong – this is where manual underwriting and lender selection make the difference.

If you have any questions relating to a mortgage with non-standard income, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your home may be repossessed if you do not keep up repayments on your mortgage.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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HNWIs

Buy-to-Let Case Study: When a Whole-of-Market Broker Succeeds Where Others Give Up

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The Client The client came to us after being declined by a lender for a buy-to-let property they were looking to purchase. Their previous broker, referred to them by their […]

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The Client

The client came to us after being declined by a lender for a buy-to-let property they were looking to purchase. Their previous broker, referred to them by their estate agent, worked with a closed or restricted panel of lenders and was unable to find an alternative.

The Scenario

Many brokers work with only a limited panel of lenders and cannot approach the wider market, which restricts their knowledge in more specialist cases. This client had given up hope of proceeding with the purchase, and was seriously considering giving up on buying an investment property altogether.

The Solution

As a whole-of-market mortgage broker with access to the full range of UK lenders, including specialist lenders a restricted-panel broker would never reach, we completed a full fact find with the client to understand their exact circumstances. From that, we were confident we could help them proceed with their buy-to-let purchase, and arranged a mortgage that got the case moving again.

The Outcome

The client’s buy-to-let purchase completed successfully. Off the back of that experience, we went on to help their son and daughter arrange their own residential mortgages, a direct result of the service and flexibility the family experienced in finding a solution to a case another broker had already given up on.

Frequently Asked Questions

Why might one lender decline a buy-to-let application that another lender would accept?

Every lender sets its own criteria, and a case that falls outside one lender’s policy can fit comfortably within another’s.
This is one of the most common reasons applications get declined even when the underlying case is sound.

What is the difference between a whole-of-market broker and one with a restricted panel?

A whole-of-market broker can approach the full range of UK lenders, including specialists. A restricted-panel broker can only offer products from a limited list.
This matters most on cases that do not fit standard high street criteria.

What happens during a mortgage fact find?

A fact find is a detailed review of your circumstances, income and requirements before any application is submitted.
It is how a broker identifies which lenders are genuinely likely to accept a case before anything is put in front of them.

Can a broker help if I have already been declined for a buy-to-let mortgage?

Yes, a decline from one lender does not mean the case cannot be placed elsewhere.
A different lender, or a different way of presenting the same case, can produce a very different outcome.

If you have any questions relating to a buy-to-let mortgage, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your property may be repossessed if you do not keep up repayments on a loan secured against it.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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office block

Limited Company Case Study: Structuring a 5-Flat Freehold and Leasehold Purchase

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The Client The client called initially looking for advice, having been told by the sellers that she was purchasing a multi-unit block of five flats on a single freehold title. […]

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The Client

The client called initially looking for advice, having been told by the sellers that she was purchasing a multi-unit block of five flats on a single freehold title. This was a limited company purchase, with part of the deposit coming as a gift from a family member.

The Scenario

We sourced and submitted the application at the best available rate on a five-year fixed deal. Following submission, the lender’s Land Registry check revealed the flats were not in fact one title – they were five separate flats, each with its own lease. The client still wanted to proceed with the purchase, but this now meant restructuring into five separate mortgage applications rather than one.

A further complication followed. The freehold, also intended for purchase, raised lender exposure concerns – most lenders will only lend a certain percentage against any single building, and this exposure limit can become a real obstacle on larger blocks.

The Solution

We put together a solution across three different lenders, structured so that no single lender’s exposure limit on the block was breached. We also advised the client to hold the freehold in her own personal name, separate from the leasehold purchases, which went into her limited company – lenders generally prefer to see the freehold held in a different legal entity to the leaseholds it relates to.

The Outcome

All five property purchases completed successfully across the three lenders, with the freehold and leasehold ownership structured cleanly and in line with what the lenders needed to see.

Frequently Asked Questions

What is the difference between buying a multi-unit freehold block and separate leasehold flats?

A single freehold title covering multiple units is usually one mortgage application. Separate leasehold titles mean separate applications for each.
It is important to confirm the actual legal structure of a block before assuming it can be financed as a single purchase.

Why do lenders have exposure limits on a single building?

Lenders cap how much of any one building or development they are willing to lend against, to manage their own risk concentration.
This can mean spreading a purchase across multiple lenders where a large number of units in the same block are involved.

Should I hold a freehold in a different legal entity to the leaseholds?

Yes, this is generally what lenders prefer to see.
Holding the freehold separately from the leasehold interests it relates to is a standard structure lenders are more comfortable lending against.

Can a gifted deposit be used for a limited company property purchase?

Yes, though lenders will want clear evidence of the gift and its source.
A signed letter from the person gifting the funds, along with proof they had the money to give, is typically required regardless of whether the purchase is personal or through a company.

If you have any questions relating to a limited company buy-to-let purchase, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your property may be repossessed if you do not keep up repayments on a loan secured against it.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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RICS brokers Buy to let Portfolio Landlord

Portfolio Landlord Case Study: Two Buy-to-Let Purchases Approved in 24 Hours

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The Client We first started working with this client back in November 2020, initially on a new buy-to-let purchase alongside servicing part of their existing property portfolio. The client holds […]

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The Client

We first started working with this client back in November 2020, initially on a new buy-to-let purchase alongside servicing part of their existing property portfolio. The client holds an existing portfolio of buy-to-let and HMO properties, and their key requirement when choosing a mortgage broker was timely service, regular updates and a dedicated point of contact throughout.

The Scenario

The client called us on a Monday morning to let us know about two more properties they wanted to purchase. We searched the whole of the buy-to-let market for the best available deal on their behalf.

The Solution

After presenting the options, we secured a Decision in Principle for the client by Monday afternoon. The speed of the process meant their purchase offer was accepted by the vendor by Tuesday morning, and it also gave the client room to negotiate a discount off the purchase prices, saving several thousand pounds in the process. Applications were submitted to the lender on Tuesday afternoon.

The Outcome

Both applications were approved within 24 hours of the client’s initial call. The client now places all of their mortgage business with us exclusively, and has gone on to recommend us to other landlords in their local property networking group.

Frequently Asked Questions

How quickly can a buy-to-let mortgage application be processed?

Timescales vary by lender, but a well-prepared case can move from initial enquiry to a Decision in Principle within a day.
Having documentation ready in advance is usually what makes the difference between a fast process and a slow one.

Can moving quickly on an offer help negotiate a better purchase price?

Yes, a fast, well-evidenced offer can put a buyer in a stronger negotiating position.
Vendors are often more willing to consider a discount when they can see the purchase is genuinely ready to proceed.

What is a Decision in Principle and why does it matter for buy-to-let purchases?

A Decision in Principle is an initial indication from a lender of how much they would be prepared to lend.
It gives a buyer real credibility with a vendor and estate agent, and helps a purchase move faster once an offer is accepted. It is worth knowing that a DIP is not a guarantee – see our guide to what can happen between a Decision in Principle and a formal offer for what to watch for.

Why use the same broker for multiple buy-to-let purchases?

A broker who already understands your portfolio and circumstances can move faster on each new purchase.
Building that history removes the need to re-explain your situation each time, which matters most when speed affects the outcome of a purchase.

If you have any questions relating to a buy-to-let mortgage, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your property may be repossessed if you do not keep up repayments on a loan secured against it.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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Same-Day Mortgage Offer Case Study: Approved Before 4pm

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The Client The client was an existing homeowner looking to move into a larger residential home with her husband to start a family. She approached us because her husband could […]

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The Client

The client was an existing homeowner looking to move into a larger residential home with her husband to start a family. She approached us because her husband could not go on the application, having an adverse credit history.

The Scenario

The client had already approached her existing mortgage provider directly, who told her she could not borrow the amount she needed based on how they stress-tested her income and expenditure. She had some credit card debt and a personal loan, with the loan due to finish in under six months from the date of application.

The Solution

We secured the client a mortgage with a high street lender willing to disregard the personal loan payments, given how little of the term remained. The lender requested no supporting documents beyond the signed mortgage declaration, since the client’s salary from her employment was paid into a current account held with the same bank – some high street lenders can verify income this way, which allows for a considerably smoother and faster client journey.

The Outcome

The application was submitted at 10:15am. The lender completed an automated valuation that same day, confirmed the property as suitable security, and issued a binding mortgage offer before 4pm – all within a single working day.

Frequently Asked Questions

Can a personal loan close to ending be excluded from mortgage affordability calculations?

Some lenders will disregard a loan commitment if it is due to finish shortly after the mortgage application.
This varies significantly between lenders, so it is worth checking a lender’s policy on this before assuming a loan will count against you.

Can a mortgage be approved on the same day it is submitted?

It is possible in the right circumstances, though it is not the norm.
Same-day approval usually depends on the property qualifying for an automated valuation and the lender already holding evidence of the applicant’s income.

Can I apply for a mortgage without my partner if they have adverse credit?

Yes, a mortgage can be applied for in one name only.
Doing so means the application is assessed on that person’s income and credit history alone, which can be the right approach where a joint application would be affected by one partner’s credit history.

Do lenders always require full income documentation for a mortgage?

Not always – some high street lenders can verify income directly if your salary is paid into an account held with them.
Where this applies, it can remove the need for payslips or bank statements entirely, speeding up the process considerably.

If you have any questions relating to a residential mortgage, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your home may be repossessed if you do not keep up repayments on your mortgage.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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property

Limited Company BTL Case Study: Three-Applicant SPV Purchase Despite Adverse Credit

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The Client The client enquired about purchasing a property through his limited company to expand his buy-to-let portfolio. The company is a Special Purpose Vehicle (SPV) already holding two properties, […]

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The Client

The client enquired about purchasing a property through his limited company to expand his buy-to-let portfolio. The company is a Special Purpose Vehicle (SPV) already holding two properties, and the main applicant also held one further buy-to-let in his own personal name. There were three applicants in total: the main applicant earning £45,000, rising to £72,000 with shift and danger allowance, and two further applicants earning £12,000 and £11,000 a year respectively – how lenders assess and weigh each applicant’s income varies significantly on a case like this. Neither of the two further applicants currently owned any other buy-to-let property, and one of them did not own any property at all.

The Scenario

We completed a fact find with each applicant and asked the relevant credit questions. All three confirmed there should be no adverse credit issues. However, the Decision in Principle was declined based on adverse credit found on one applicant’s file – a reminder that applications can still fall through after a DIP once a lender runs its full checks. When we requested a copy of the full credit report, there were a number of historical adverse credit issues that had not come up during the fact find.

The Solution

We re-sourced the deal and found a lender willing to accept the adverse credit, provided there had been no further adverse activity within a set time frame.

The Outcome

The deal was placed and accepted, allowing the client to proceed with expanding his portfolio through the SPV. It also left him in a stronger position to remortgage on better terms when the time comes.

Frequently Asked Questions

Can a limited company buy-to-let mortgage have three applicants?

Yes, most lenders will consider multiple applicants on a limited company buy-to-let, particularly within an SPV structure.
Each applicant’s income and credit history will still be assessed individually as part of the application.

Do all applicants on a limited company buy-to-let need to already own property?

No, not all applicants need an existing property or portfolio.
Lenders assess the application as a whole, so one or more applicants having no property history does not automatically prevent approval.

Is there a minimum income requirement for a limited company buy-to-let mortgage?

There is no fixed threshold that applies across all lenders.
What matters most is that each applicant’s income can be evidenced properly, rather than it needing to meet a specific figure.

Can adverse credit on one applicant's file be worked around?

Often, yes, depending on the nature and age of the adverse credit.
Some lenders will still consider the application provided there has been no further adverse activity within a set period, even where one applicant’s file is not clean.

If you have any questions relating to a limited company buy-to-let mortgage, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your property may be repossessed if you do not keep up repayments on a loan secured against it.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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Residential Remortgage

Residential Remortgage Case Study: Solving Adverse Credit, Two Kitchens and a Family Transfer of Equity

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The Client The client called in to enquire about mortgaging his existing residential property, which he owned jointly with his mother. During the fact find, we discovered the property had […]

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The Client

The client called in to enquire about mortgaging his existing residential property, which he owned jointly with his mother. During the fact find, we discovered the property had two kitchens, and that the client had some historical bad credit which had since been consolidated.

The Scenario

The client wanted his mother taken off the mortgage and deeds via a transfer of equity, with his partner joining the mortgage jointly with him in her place. This would usually be a straightforward process, but his mother was to remain living in the property afterwards – something that makes almost every lender on the market very nervous, since it falls outside their standard criteria.

The two kitchens complicated things further. On their own, they are not favourable with many lenders but can usually still be placed. Further fact-finding, though, revealed the property also had two front doors, meaning it was effectively two self-contained homes on a single title rather than an unusual layout on one.

The client also had a mix of some recent and some historical adverse credit, and wanted to consolidate his current debts – redeeming the original mortgage, taken out only nine months earlier, along with a second charge and several credit card and loan balances. Property finance alone was costing around £3,500 a month.

The Solution

We persevered and found the one lender across the entire market comfortable with all three complicating factors together: the multi-unit aspect, the two front doors, and the mother remaining in the property despite falling outside most lenders’ standard criteria.

The Outcome

We consolidated the client’s debts and moved the secured borrowing onto one facility at a better rate, saving him almost £1,000 a month.

Frequently Asked Questions

Can someone stay in a property after being removed from the mortgage via transfer of equity?

Most lenders will not allow this, as the person remaining retains certain legal rights to the property.
It is one of the more difficult scenarios to place, and only a small number of lenders will consider it.

Does having two kitchens affect a mortgage application?

It can, though it is often still placeable with the right lender.
The bigger issue arises if a second kitchen allows someone to live fully independently in a self-contained part of the property, which some lenders treat as an unregistered multi-unit dwelling.

How does historical adverse credit affect a mortgage application?

It depends on what the adverse credit was and when it was registered or satisfied.
Older, resolved adverse credit is generally viewed far more favourably than anything recent or outstanding.

Does recent adverse credit always prevent mortgage approval?

No, though it depends on the type and how much of it there is within a given time frame.
Adverse credit against secured lending tends to be viewed most seriously, unsecured credit somewhat less so, and missed communication or utility payments the least seriously of all.

If you have any questions relating to a residential remortgage with adverse credit, contact us today to speak directly with one of our Mortgage Advisors.

UK Mortgage Broker is a whole-of-market broker directly authorised and regulated by the Financial Conduct Authority. Your home may be repossessed if you do not keep up repayments on your mortgage.

Call: +44 1628 969 500
Email: info@uk-mortgagebroker.co.uk

Contact us

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