Hi, my name is Caz2! Finding a mortgage while receiving benefits

Caz2

Thanks for letting me join my husband is long term sick with COPD plus other illnesses I also have 3 young men 20,30,and 32 (our boys)on PIP too we want to get a mortgage as our landlord of 15yrs wants to sell and we have been given first refusal  does any one know of a mortgage lender that can help us without looking down their noses at us coz of that little word benefits like a lot of them have.Im sure a lot of you just like my husband and I find it's soul destroying thank you for reading this .

janer1967

Hi and welcome 

It is very hard to get a mortgage when only income is benefits 

Suggest you do some digging online 

Ross_Alumni

Hi @caz2

Welcome to the community. Sadly it is quite a bit more difficult to get a mortgage when your only income is benefits, however I believe it shouldn't be the barrier that it is. There are some resources online, such as this one from the Money Advice Service, that offer some useful information about what you should be considering.

Caz2

Thank you to you both ,my husband and I have tried so many we now feel like we are going around in circles. another of advice places try to help but the companies they say try are no help .and a lot of them treat you like you are something horrid that they have trodden in

leeCal

Have you tried asking shelter if they know of any companies which could accommodate?

Caz2

No but we will thank you

atlas47

Have you thought about an interest only mortgage?

You should speak to an independent mortgage advisor, if there mortgages out there for you, the advisor will find them. They will not charge you, as the lender will pay them a fee.

If I can think of anything else, I will post.

woodbine

It's true that finding a mortgage when you sole income is benefits is very difficult as benefits are never a guaranteed income.
I would suggest looking for a "whole of market" broker as they have access to mortgages that even Independent advisors won't  have, most brokers/advisors only have access to a very limited deals.
Of course you will also need to have a deposit of at least 5% preferably more.
An interest only mortgage will still require a means of repaying the capital at some point.

atlas47

Hi @Caz2

Just been doing some digging around on your behalf.

Fact 1.
Yes you can get a mortgage if you are on benefits, as the mortgage lender, could face a discrimination claim, on account of your disabilities.

Fact 2.
The best organisation to assist you, as @leeCal has already identified to you is Shelter, via their helpline.

Fact 3.
There are a number of helplines you can speak to on this subject. An example being -Online Mortgage Advisor helpline number tel: 0808 189 2301. To find a mortgage whilst In receipt of state benefits.

Please keep us updated, we are hear to help as best we can.

Best wishes

woodbine

You would be hard pushed to prove that not giving you a mortgage was in any way discrimination, mortgages are all about being able to make the repayments in full, on time and for twenty five years.
Shelter can advice on problems with existing mortgages e.g repossessions, but as they are not lenders they can't/won't advice on borrowing money (mortgages).
I maintain that the only real and useful help would be from a "whole of market" broker and even then there are no guarantees they could find a mortgage for anyone who's sole income is benefits.
@Caz2 i'm afraid that your best course of action might be to find somewhere else to rent.

atlas47

Hi @woodbine

I stand by my post about facts, not opinions.

Shelter do indeed, provide very detailed advice about getting a mortgage, whilst on benefits. I have no doubt you will wish to verify what Shelter does on its website. In respect of these matters.

25 year mortgages? This is a somewhat a past tense view about the current mortgage market!

The best to the last, in your opinion the option for @Caz2 is to move to a new rented home! Beggars and believers.

woodbine

I'm not going to argue with you, or anybody else for that matter, I will however say that I am well aware of what shelter does and how they do it, we had an example here recently about a young lady who was homeless and shelter couldn't help her, an organisation/charity like shelter cannot give mortgage advice as their people would need training and qualifications in order to do so. Shelter will offer help/advice if you are about to be made homeless or you are homeless...end of.
Twenty five year mortgages are not past tense, if you read the OP you will see that one of the sons is 32, that would make the parents somewhere in their 50's, do you honestly consider that anyone would be offering them a 30 year mortgage? my B.I.L could only get a 10 year mortgage when he was 52.
I'm not sure why you think my last point beggars belief, i'm trying to be realistic, and not offer false hope, based on doubtful information

That said I have made my final comment on this thread, I don't like being talked down to thanks.

cupcake88

Hi there you could go and see a mortgage broker most only charge once they find you mortgage which is good . But they can see who will accept you and who won’t saves you going to different places . Hope that helps . 

Would you struggle to rent some where else ? 

Cher_Alumni

Hi everyone,

Just a reminder to keep things friendly (even where viewpoints differ) and ensure, as much as is possible, that information shared is factually correct.   Please see our house rules for more about 'Keeping it safe'.

Shelter are exceptional in their field of housing problems, however in this instance it would be wise to talk with a mortgage broker who would be able to search the market to find a product suitable for your circumstances @Caz2.  

Some sources of independent advice you might want to try include:

• Unbiased
• Your Money Adviser

Whilst Scope has a webpage about Mortgages and benefits that contains further guidance that might be useful.  Crucially, you need to consider affordability, as:

The maximum loan to value available to people on benefits is usually 75% of the purchase price or value of the property.

I appreciate this isn't encouraging news but it's best to go into the situation fully informed, particularly by mortgage brokers who specialise in this area.

Please let us know how you get on and good luck.  

atlas47

Hi @Cher_Scope

Thank you for your kindly intervention, but I would direct you to the Shelter website on all matters relating to mortgages for those “disabled” seeking a mortgage.

My posts are statements of facts, not opinions,

I have no doubt, that you will take the time and effort, to see what Shelter, has to offer for claimants of disability benefits, in pursuing a mortgage application.

Please let me know, if I can be of all further related matters.

Best wishes

Cher_Alumni

@atlas47 Thank you for signposting me to Shelter's disabled mortgage information.  Shelter Scotland's disabled mortgage webpage reinforces that the best people to speak to are:

Bank or building societies - most banks and building societies have a mortgage adviser who will be happy to discuss your mortgage needs with you. All lenders need to produce information about their financial services in Braille or other accessible formats, and they should be able to make home visits if you're not able to come into a branch.

Financial advisers - if you'd like someone to shop around for you, get in touch with an independent financial adviser (IFA), mortgage broker or other specialist. They may be able to find a deal that's suitable for you. IFAs and brokers may charge a fee for their services, but this is often paid by the bank and then included in your mortgage.

Money advisers - you can also get help from a money advice centre .

Specialist advisers - for specialist advice on how to buy a home if you rely on benefits as your main source of income.

Returning to the OP's question - has the information received helped @Caz2 ?

Caz2

Thank you all for your advice I can see Monday I'm gonna be on the phone all day I'm also sorry that it's caused some friction.I would consider moving but we have dogs so that's another no no against us and as the Dr would agree my husbands health wouldn't cope on moving ,last time we moved it brought on such bad epileptic fits it mad him really ill.once again thank you for your help I will let you know what happens ,its great to know that there are ppl out there willing to take their time and help .Thanks

Cher_Alumni

@Caz2 No need to apologise at all and I'm glad the replies received have helped   Please let us know how you get on on Monday.  We have our fingers crossed for some positive news!

Caz2

I will but I'm beginning to lose hope which if any one that knows me will say is so unlike me as I'm always looking at the positive side of things (that's what keeps me sane when things get hard at home with 4 of my family who suffer from depression and anxiety and of cause all the medical problems of my husband.)

Ross_Alumni

It seems as though things are difficult at the minute @Caz2 and I'm sorry to hear that, but I would encourage you to keep fighting and I'm sure you'll get a positive outcome eventually, you clearly have a supportive and loving family around you. 

Do you and your family receive any support for your mental health? 

Caz2

My husband does as he has a Nero psychologist as he's has 2 brain ops for aneurysm repairs and has another one Growing these ops have left him with a lot of mental problems but my other boys only medication as they won't talk to ppl