Teacher Mortgages

Written by Damon Pike – Principle Mortgage and Protection Advisor

Last updated: 25th January 2023

Whether you are a first-time buyer, moving home, or looking for a new mortgage on your current home as a teacher there may be mortgage products available to you that aren’t available to everyone else.​

Teachers

Some lenders have more flexibility than others when it comes to assessing your mortgage application. If you are a teacher, including NQT’s (newly qualified teacher’s), supply teachers, teaching assistants and agency or part time teachers, there are various ways a mortgage lender could assess your affordability, especially for those with a short-term contract or overtime. For example, some lenders will accept 100% of TLR (teaching and learning responsibility) payments or other uplifts, while others may only accept a lower percentage or none at all. If the payment uplift is substantial this could have a considerable influence on affordability. Applying to the right lender could make a big difference in the amount you could borrow. There are also some mortgage products that offer lower rates for teachers, or others that are exclusively teacher’s mortgages.

How can we help?

What if I have a low credit score?

Home ownership schemes

There are a number of government backed schemes that could help to improve your chances to get onto or up the property ladder. The eligibility criteria and conditions for the schemes vary, so get in touch to find out if any are right for you.

• Lifetime ISA – A government backed savings account which if used for the purpose of buying your first home utilises a 25% bonus.
• Help to buy – An equity loan to help with the deposit on a new build property for a first time buyer. Applications for this scheme closed on 31 October 2022.
• Right to buy – Council tenants and some housing association tenants can purchase the home they are renting at a discount to market value.
• First homes – 30% to 50% discount on a new home for first-time buyers with priority given to key workers and people with local connections, as determined by local authorities. The discount will be passed on to new applicants when the home is sold. The scheme launched in June 2021 and has limited availability but is being extended across England.
• Shared ownership – Buy a share of a home and pay rent on the rest until you can afford further shares. A new model launched in 2021 with some changes to criteria that differs from the previous model. The old model is still being offered by many providers so check before you apply. (Priority given specific groups depending on local housing needs.)

Working with Damon

Principle Mortgage and Protection Advisor

Principle Mortgage and Protection Advisor

Principle Mortgage and Protection Advisor