| Income type | Acceptable | % Weighting | Restrictions |
|---|---|---|---|
Additional Duty/Responsibility (Guaranteed) | Yes | 100 | |
Adoption Allowance (Guaranteed) | Yes | 100 | |
Alphabet shares | Yes | 50 | We will accept alphabet shares if they have been paid and can evidenced on the borrowers last 2 years Sa302s.
The average over the last 2 years should be entered under the ‘Investment Income’ field. |
Bank Work | Yes | 100 | Income for borrowers in bank work can be considered on a case by case basis if they have 12 months continuous employment within a similar role.
NHS employees can be considered with a 3 months of bank work history. |
Benefit Income | Yes | 100 | At least one owner should be in full time employment. The benefit must be for the applicant and must be guaranteed. |
Bonus | Yes | 50 | This must be earned in the last 12 months |
Bursary | No | ||
Capital Gains | No | ||
Carers Allowance | Yes | 100 | Must be guaranteed |
Cash In Hand | Maybe | Not accepted for employed applicants. May be accepted for Self-employed applicants if supported by their self assessment and line of work. | |
Change of employment type | Yes | 100 | Recent changes in employment type will be reviewed on a case by case basis.
Where a borrower has moved from employed or contract work to self-employment, 1 years trading must have been completed and evidenced via an Sa302.
All changes to employment type will only be reviewed where the work remains in a similar role and industry. |
Cheque Payments | Maybe | 100 | May be accepted subject to line of work and full underwriter assessment. |
Child Benefit | Yes | 100 | At least one owner should be in full time
employment. The benefit must be for the applicant and must be guaranteed.
Must only be included where
being paid for the next 5 years. |
Construction Industry Scheme (CIS) | Yes | 100 | Must have 12 months continuous employment. We will require; 2 months equivalent payslips/Invoices &
Evidence of 12 months continuous income |
Commission | Yes | 50 | Average of the last 2 months payslips. Income made up from 100% commission is not acceptable |
Contract; Zero Hours | Yes | 100 | Track record: 12 months continuous employment within that role.
|
Contracts; Fixed term | Yes | 100 | Must have 12 months continuous employment and 3 months remaining on their current contract.
|
Deferred Shares | No | ||
Disability Living Allowance | Yes | 100 | At least one owner should be in full time employment. The benefit must be for the applicant and must be guaranteed. |
Employer Housing Allowance | Yes | 100 | Must be guaranteed |
Expenses | No | ||
Family Business | Maybe | 100 | Acceptable where the customer has been employed to the family business for a minimum of 12 months. 12 months bank statements are required.
Where >20% or more shares are owned they must be treated as self-employed. |
Foreign Income | No | ||
Foster Income | Yes | 100 | There is a 12 month track record and it is likely to continue for at least 5 years from the start of the mortgage |
Holiday Lets | Yes | 100 | Income from Holiday lets is acceptable where it has been received for the last two years and can be evidenced by the last two years Sa302/Sa100 and corresponding TYO.
For further information refer to the Holiday Lets page. |
Incapacity Benefit | Maybe | 100 | At least one owner should be in full time employment. The benefit must be for the applicant and must be guaranteed. |
Investment Income | Yes | 50 | The total balance of the investment divided by the term should be keyed |
Limited Company | Yes | 100 | Where trading for 2 years or more.
We may accept Limited Company income where the company has been trading for less than 2 years provided that; the majority of the income of the application is coming from employment or longer trading self employment and a minimum of 1 years accounts can be provided. |
Locum doctors | Yes | 100 | Income as per tax returns |
Maintenance Payments | Yes | 100 | Maintenance Income is allowable (100%) through a signed Maintenance Agreement received under court order OR Child Support Maintenance agreement subject to:
● Confirmation the agreement will be in place for a minimum of 5 years from the start of the mortgage AND
● A satisfactory track record of receipt being provided – 3 months bank statements OR Open Banking. |
Mileage Allowance | No | ||
New Role | Yes | 100 | If the borrower is due to start their new role during the application process, we will need to see a copy of their signed contract, 1st payslip and corresponding bank statement |
Overtime | Yes | 75 | Average of the last 2 months payslips |
Parental Leave | Maybe | 100 | 100% of the borrowers returning employed income will be assessed where the applicant is returning within 12 months.
We will require evidence of how they are able to cover any period of reduced income (e.g. savings).
Refer to the Parental Leave page for full details. |
Pension (state & private) | Yes | 100 | We do not accept drawdown pension or pensions held in trust |
Permanent Health Insurance | No | ||
Personal Independence Payments | Yes | 100 | At least one owner should be in full time employment. The benefit must be for the applicant and must be guaranteed. |
Piecework | Maybe | 100 | 12 months income history required. Income taken as per latest P60 or Sa302 |
Probation | Maybe | 100 | Customers within the first 6 months of employment must confirm permanent employment or evidence 12 months in a similar role/industry. |
Rental Income | Yes | 83 | Refer to Rental income page.
Where there are other associated costs relating to the property, such as management fees, they must also be declared or offset against the income |
Seasonal Workers | No | ||
Second Jobs | Yes | 100 | Can be considered where basic hours do not exceed 60 hours a week. Any hours completed over 60 hours a week will be classed as overtime. |
Shift Allowance | Yes | 100 | Must be guaranteed |
Sole Traders | Yes | 100 | Where trading for 2 years or more.
We may accept Sole trader income where the company has been trading for less than 2 years provided that; the majority of the income of the application is coming from employment or longer trading self employment and a minimum of 1 years self assessment can be provided. |
Statutory Sick Pay | No | ||
Stipend | Maybe | 100 | We will only accept Stipend income where a future contract of employment can be evidenced OR where received longer term as a member of the clergy. |
Temporary Workers | Yes | 100 | 12 months continuous employment within the role |
Tronc Income | Yes | 100 | As long as it is put through to HMRC |
Trust Income | Maybe | 100 | Only acceptable where the income is in the applicant's name, the income and tax paid can be evidenced and is due to be paid for no less than 5 more years. |
Umbrella Company | Yes | 100 | Treated as employed where tax is paid by employer, treat as self employed where pay own tax |
Universal Credit | Maybe | 100 | At least one owner should be in full time employment. The benefit must be for the applicant and must be guaranteed. *Housing allowance must be deducted & Child Tax credit only included where being paid for the next 5 years. |
Unsociable Hours | Yes | 100 | Must be guaranteed |
Widows Pension | Yes | 100 |