Mortgages For Professionals

If you’ve trained and qualified in a professional industry, you may be able to get a professional mortgage. 

To get where you have in your professional career, it takes a lot of hard work and dedication which can all play to your advantage when you are looking for a mortgage. 

Read our guide below to find out if you're eligible for a professional mortgage today.

What is the professional mortgage eligibility criteria?

The basic criteria for a professional mortgage states that you must either be a trainee or a qualified, registered and practising professional, such as a dentist, teacher or degree-qualified engineer. 

Each mortgage lender may offer different criterias and specifications that they will require you to meet. Lenders may require you to:

• Meet minimum income requirements 

• Meet minimum deposit requirements 

• Have an awarded qualification by a registered body in your profession

• Have a career, or be a trainee for a career as a professional

• Have a debt-to-income ratio below a specific amount

How much can I borrow for a professional mortgage?

Professional mortgages allow an applicant to borrow up to six times their annual income. 

Mortgage lenders tend to lend higher loan-to-value (LTV) ratios due to the low-risk nature of professionals who are borrowers. Lenders are also more likely to be more flexible with their lending criteria for those with professional occupations.

How much deposit do I need for a mortgage as a professional?

For most UK mortgage lenders, the minimum deposit for professionals is 5%. This is usually when the borrower has good affordability for the loan size they’re applying for.

If you have affordability issues, such as a poor credit score or low income due to being a trainee, you may require a larger deposit to reduce your LTV ratio.

What is classed as a professional when getting a professional mortgage?

Mortgage lenders typically list a variety of professional occupations who would fit the criteria of a professional, these include:

• NHS staff

• Civil Servants

• Teachers

• Accountants

• Graduates

• Solicitors

• Architects

• Contractors

… and many more. It is always worth checking with your mortgage broker whether you class as a professional and can access a particular mortgage suited to your profession.

Benefits of Professional Mortgage

Professional mortgages have several advantages to them, including:

• Lower deposit requirements: You are more likely to have a low deposit mortgage if you're a professional. Working in a safe and stable profession will reduce the deposit due to the lack of risk with the loan.

• Better interest rates: Some mortgage lenders offer favourable interest rates to customers in certain professions, and can offer fee discounts too.
• Less income proof needed: Professionals are more likely to be approved for a mortgage with only 12 months of working history, which can be useful if you haven't been in your current role long. 
• Overpay features: Mortgage lenders typically allow you to overpay by 10% on your mortgage each year without a penalty. For those in certain professions, lenders can be more flexible and increase the limit to 20%. Some lenders may even impose a no overpayment cap at all. 
• Personalised services: Some mortgage lenders specialise in mortgages for professionals, and can therefore offer a personalised service.

Mortgage Advice for Professionals

If you are in a professional occupation and are seeking a mortgage for professionals, or wondering if you fit the criteria for a mortgage for professionals, feel free to contact us today for more information via email at office@barlow-irvin.co.uk

 or give us a call on 01204 958 458.

FAQs about Mortgages for Professionals

Can I get a mortgage as a professional if I have debts?

Yes, you can get a mortgage as a professional even if you have debt - although, it all depends on the level of debt against your income. You may find that if your debt is recent or substantial, less lenders may be willing to give you a mortgage. 

The lower your debt-to-income ratio, the less risk you present to lenders and so a wider range of deals will be available to you. 

A mortgage broker can help you to secure a mortgage if you are struggling with debt, so it is always worth contacting one before you try to start the mortgage process.

Can self-employed professionals get a mortgage?

Yes, self-employed professionals can get a mortgage, however, they will have to prove the stability of their income. Some lenders may require self-employed borrowers to provide future contracts to prove they can generate enough predictable income to repay the mortgage back.

Self-employed professionals are also required to show two or more years of accounts history, a tax year overview and evidence of retained profits. 

How do I prove my income for a professional mortgage?

Mortgage companies have to verify income in a variety of ways and you will likely have to show the following:

• 
  
• Payslips. Presenting payslips is the easiest way to verify your income. Usually mortgage lenders will request at least three months of payslips.

• Company accounts. If you’re self-employed, you will typically need to show your company accounts and have a fully qualified accountant to sign off on those accounts.

• Bank statements. Bank statements help lenders to get an understanding of your financial situation and spending habits. Regular deposits into savings accounts will lean in your favour.

• An employment contact. If you work as a contractor, some lenders will want to see a signed contract.

Can I get a professional mortgage if my partner isn’t a professional?

Yes, you can get a professional mortgage even if your partner is not a professional. 

As long as one of the applicants is a practising professional who fits the criteria of a professional, you will be eligible for a professional mortgage. 

Is it easier to get a mortgage as a working professional?

There can be a little more flexibility from lenders for professionals applying for a mortgage. As an example, if you join an existing practice as a partner you would be classed as self-employed. 

Newly self-employed applicants typically have to have at least 1 years' accounts to evidence their income, but some lenders will allow you to apply sooner when joining an existing professional practice. 

Can I get a professional mortgage if I am newly qualified?

Yes, some lenders see newly qualified professionals as less risky as most professions have a certain career path, allowing a mortgage lender to predict your future incomes. 

Most post-graduate roles provide stability in the form of long-term employment contracts, and so, many lenders will consider recently qualified or trainee applicants in the fields of medicine, teaching and law.