Getting a student mortgage
As mortgage lenders are risk averse, you will need to be able to sufficiently demonstrate your ability to keep up with mortgage repayments if you want them to consider lending to you.
The key to finding the best deal on a student mortgage could be to compare a wide range of mortgage deals to see what each provider could offer you. Although it may take a bit of effort and research for you to find a suitable student mortgage deal, it is not by any means impossible. As banks and building societies begin to acknowledge the problems often facing those looking for student mortgages, they are beginning to introduce products to address such issues.
A select amount of banks and building societies currently offer student mortgages that are designed to meet the needs of students looking to get onto the property ladder. However, as with every type of mortgage, these student mortgages have fairly strict lending requirements.
If you are looking to take out a student mortgage, you may need to meet the following criteria:
- You may need to make a joint application with a family member or a mortgage guarantor may be required
- You may be required to purchase the property on a buy to let premise, with you renting out some of the other rooms to tenants that may not necessarily be students
- The amount of mortgage loan could be dependent on the amount of rental income the property is expected to bring in.
However, each provider will vary in terms of their lending criteria and the types of mortgage offered. It is therefore advisable that you shop around to see which could best meet your needs.