Peter is 28 and is an apprentice IT support worker for a large pharmaceutical company. He has been working there for a number of years and has a full time permanent contract with a salary of £30,000.
Peter is keen to buy a house which is close to his work and will be an ideal first home for him. He is looking to borrow £140,000. Thanks to a savings plan he has managed to save a 10% deposit.
His pride and joy is his car for which he has car loan where he pays £200 per month.
His employers have confirmed that when he completes his apprenticeship he will be earning approximately £40,000 and this will increase further each year. When he finishes his exams he would also be able to progress further in his career.
His dad, Tony, is 50 and works as a senior engineer earning £59,000 a year. He has no credit commitments but has a small joint mortgage with his wife, Pauline, of £66,000 on their residential property. Their property is valued at £250,000. Pauline and Tony also own a Buy to Let property with an outstanding balance of £74,000 on a value of £210,000 – the rent received is £1,400 a month which covers the monthly mortgage repayments of £400.
Tony has a private pension and will qualify for a state pension and Pauline is currently retired and receives a private and state pension. The total pension income for Pauline and Tony is approximately £70,000.
Peter’s dad is happy to help her son get on the property ladder but does not want to be on the title deeds.
Peter's broker has been struggling to find a lender who will accept this case but hears that Furness offers a Joint Borrower Sole Proprietorship solution and contacts the Furness for Intermediaries team for help.
The mortgage was approved on this basis that Peter’s income will improve, Tony’s current income and the overall financial stability of both parties.
If you are in a similar situation, or want just to talk around your options then call us 0800 220 568
All our case studies are based on real cases but the names have been changed and stock images have been used to protect confidentiality.