Mortgage advice in practice
Every mortgage starts with a different story.
A gifted deposit. Income from a business. A mortgage deal coming to an end. Understanding the details is the starting point for suitable advice.
About the examples below
Your home may be repossessed if you do not keep up repayments on your mortgage.
These are illustrative scenarios showing how a mortgage enquiry may be approached. They are not completed PMS client cases, testimonials or promises of a mortgage offer.
Illustrative scenario · First-time buyer
Buying a first home with help from family
The situation: A buyer has savings and a family gift towards their deposit, but is unsure what evidence will be needed.
The approach: Review the buyer’s budget and commitments, establish who is providing the gift, and check the proposed lender’s requirements. Explain the gifted deposit declaration and the evidence the lender and conveyancer may request.
What needs checking: A gift must be described accurately. If repayment is expected, it must not be presented as an unconditional gift. Acceptable donors and documentation vary.
Illustrative scenario · Company director
Understanding borrowing when income is more than a salary
The situation: A director receives salary and dividends and wants to understand how their business income may affect borrowing.
The approach: Review trading history, accounts, tax calculations and current commitments. Where appropriate and with permission, liaise with the accountant to clarify the figures and compare relevant lender approaches.
What needs checking: Lenders assess business income differently. Retained profits are not automatically accepted, and a borrowing figure cannot be confirmed without reviewing the evidence and criteria.
Illustrative scenario · Remortgage
Planning ahead before a mortgage deal ends
The situation: A homeowner’s current mortgage deal is approaching its end and they want to understand their next options.
The approach: Check the outstanding balance, remaining term, deal end date and any early repayment charge. Compare relevant options with the existing lender and alternative lenders, considering fees and the overall cost.
What needs checking: Changing lender is not always the most suitable route. Eligibility, timing, legal costs and any change in circumstances need to be considered.
Your circumstances deserve individual attention
These examples explain a process, rather than predict a result. The options available to you will depend on your income, commitments, credit history, deposit, property and the lender’s assessment.
PMS Mortgages supports homebuyers, homeowners, landlords and clients with complex income from Croydon and across the UK.
Tell us your story
Speak to PMS about your plans, the questions you have and the documents you may need.