The situation
Our client, a nurse, was mortgage-free on their existing residential property and looking to purchase a new home with their partner.
Their partner already jointly owned a property with a family member, creating an ongoing financial commitment that needed to be considered as part of the affordability assessment.
The challenge
This case presented a number of complexities:
• The partner’s existing property ownership created an affordability constraint, as associated costs would typically be factored into the application
• Not all lenders take a flexible approach where a property is occupied by a third party, even if the applicant is not responsible for day-to-day living costs
• Both applicants had varied income structures, including shift-based and bank earnings, which are not always fully recognised
As a result, lender selection was key to ensuring the case could proceed successfully.
The solution
We identified a lender able to take a more pragmatic view of the circumstances.
This included a provider willing to:
• Disregard the partner’s existing housing commitment, where it could be evidenced that a family member occupied the property
• Consider all income streams, including bank and shift-based earnings
• Support a second residential purchase with a high loan-to-value structure
By presenting the case clearly and focusing on the true affordability position, we were able to align the application with lender criteria.
The outcome
The application was successfully agreed with a high street lender, enabling the purchase to proceed with a 10% deposit.
The lender offered a competitive solution while accommodating the complexity of the applicants’ circumstances, including their income structure and existing commitments.
This provided the clients with a clear and cost-effective route to securing their new home.
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