Mortgages for graduates
Published 16th August 2017
Whenever I've searched for ‘graduate mortgages’ I've found there’s a LOT of spammy-nonsense websites offering poor/no advice for graduates looking to buy property, so I have compiled all the relevant info graduates need here in one place.
Firstly, don’t expect there to be many headline ‘graduate mortgages’ about – very few lenders actually favour graduates by offering them exclusive products, although there are one or two lenders that do, and they cater not only for those who have recently left university, but also those that have ever graduated (for some lenders there is no expiry period, so you could have graduated 15 years ago and still qualify).
More often than not, our customers searching for a ‘graduate mortgage’ are looking for lenders who will consider them despite their…
- Lack of a huge deposit
- Poor credit history
- Massive student loans and overdrafts
- Entry level income
- Or even based on a job they have been offered but not due to start for a few months
All of the above are possible in the right circumstances.
The brokers we work with have years of experience in arranging mortgages for graduates, whether that be their first home, or first buy to let, and we get enquiries from customers specifically looking for exclusive graduate mortgages from Natwest, HSBC graduate mortgages, Halifax graduate mortgages, Britannia graduate mortgages etc etc. Usually this is because they are the lenders people bank with - but it’s important to remember: Don’t limit yourself to one or two lenders.
Benefits to graduate mortgages
Not only are some lenders flexible with their criteria when it comes to graduates, but often they can offer other benefits:
- Enhanced rates & Lower fees: Discounts and free stuff!
- Lower deposit: 95% mortgages for graduates & family assisted graduate mortgages
- Bigger loan sizes: Enhanced income multiples & Guarantor options
Mortgages for professional graduates
Often when it comes to borrowing on a mortgage, a professional with a recognised qualification (such as a law school graduate) can be viewed as a safer bet when compared to other types of graduate, because with the qualification comes a certain level of security – security of income, career progression, and sustainability. As a result, some lenders look on applications more favourably, and can offer better deals or more flexible lending criteria such as increased loan sizes based on future earnings etc. Many professional graduates will also qualify for the exclusive professional mortgages that offer:
- lower rates & fees
- Higher loan sizes
- More flexible repayment options
- Guarantor & family assisted mortgages
- Lesser deposit (with some lenders)
To make an enquiry, complete the simple form on the right hand side of this page or make a full mortgage application.
Looking for a mortgage before you've graduated? Not a problem
If you are due to graduate and start a new job in the coming months, then there may be a lender who will offer you the mortgage now and consider your future income – so long as you have or will have a contract at the time of application.
New Self-employed professional mortgages
If you have graduated and straight away gone self-employed, then you may find most lenders ask you to be trading for 3 full years before applying for a mortgage. Currently however, we have access to lenders that will consider you if you have only been up and running for 12 months – even if you’ve had poor credit in the past!
How do I apply?
If you're ready to make an application or if you just have an enquiry, please fill out our quick form below and an expert will be in touch ASAP. If you require help immediate assistance please give us a call.