Key Details:
- Client: First-time buyer
- Challenge: Limited employed income requiring a joint borrower, sole proprietor structure to meet affordability
- Loan Amount: Mortgage at approximately 90% loan-to-value on a property valued at circa £885,000
A first-time buyer approached Enness Global seeking finance to purchase a property valued at approximately £885,000. With employed income of circa £30,000 per annum, the client was unable to meet affordability requirements independently and required a specialist lending solution to proceed with the purchase.
The transaction presented several challenges. Many mainstream lenders were unable to provide the level of borrowing required based solely on the client's income. The preferred structure also needed to ensure the client remained the sole legal owner and occupier of the property while allowing additional income to be considered for affordability purposes.
Enness Global introduced a lender experienced in joint borrower, sole proprietor (JBSP) mortgages. The client's parents joined the application as supporting borrowers, enabling the lender to assess affordability using their financial profile while the client remained the sole legal owner of the property. A mortgage was structured at approximately 90% loan-to-value, subject to lender criteria, allowing the purchase to proceed.
This case demonstrates how specialist mortgage structuring can support first-time buyers whose individual income may not meet conventional lending criteria by using appropriate family-assisted borrowing structures.
Disclaimer
This case study is provided for illustrative purposes only and does not constitute financial, legal, tax or investment advice. The client scenario has been anonymised and certain details have been generalised to protect confidentiality. Finance is subject to status, underwriting, valuation, asset suitability and lender criteria. Loan amounts, loan-to-value ratios and lending structures are indicative only and may vary depending on individual circumstances and market conditions. Enness Global acts as a credit broker and not as a lender.
Risk Warning
Your property may be repossessed if you do not keep up repayments on your mortgage or any debt secured against it.
Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.
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Property values can fall as well as rise, and you may not get back the amount originally invested. Property investments can be illiquid and may take time to sell. Where borrowing is used, your property may be repossessed if you do not keep up repayments on a mortgage or other loan secured against it.
