How hard is it to get a mortgage?
By Esther Morley – Managing Director, Specialist Residential
When it comes to buying a home, everyone accepts it’s stressful for your customers, but just how stressful is it, and how much is that stress magnified when homebuyers are self-employed, have complex income streams and a history of adverse?
We surveyed 1,000 people across the UK about this to help you – and us – understand homebuyers better, the pressure points in the mortgage process and what we all need to do better to support them.
You can download the reporte here.
Here are some headline findings:-
- 35% said there were not enough mortgage products to suit their situation
- 48% said they had been negatively impacted by the mortgage application process
- 30% have been rejected for a mortgage
- 43% believed they were less likely to become a homeowner due to the cost of living crisis
Perhaps surprisingly – or unsurprisingly – these challenges were only greater for key workers, self-employed and people with complex income streams:-
- 30% of key workers have been turned down for a mortgage
- 28% of self employed people have been turned down for a mortgage
- 29% have felt discriminated against by a high street mortgage lender or bank due to employment status or income streams.
For self-employed homeowners and workers with multiple or non-standard sources of income, getting a mortgage was considered more difficult than moving home, arranging a wedding, parenting and applying for a new job.
Only flying a plane was ranked as more difficult than getting a mortgage for this group of customers.
Making mortgages simple
What this reveals is an appetite from your customers for three things, and yes we are going to use more bullet points:-
- Mortgage products that meet their specific needs
- A lender open to be flexible to their lived situation and find a solution
- A process that removes the stress.
This is – conveniently, you might say – what we designed our residential mortgage products to do.
With broad criteria for self-employed, key workers and qualified professionals, stretched LTIs, flexibility around adverse and a technology-led process that simplifies the process for you and your customer, we are meeting their challenges head on.
Register for simple residential mortgages here.
LendInvest Loans Limited is a company registered in England & Wales with Company No. 09971600.
LendInvest Loans Limited is authorised and regulated by the Financial Conduct Authority (FRN:737073). LendInvest Loans Limited is a wholly owned subsidiary of LendInvest plc.
Borrowing through LendInvest involves entering into a mortgage contract secured against property. Your property may be repossessed if you do not repay your mortgage in full.
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