Can I Apply for a Remortgage if I'm in a Probationary Period at Work?
You can - and although high street lenders may not be able to help, several specialist lenders will be happy to consider your employment as permanent if you have a contract.
Lenders will look at things such as:
- The type and content of your contract.
- Whether your employer is happy to confirm the placement details.
- How long the probation period is.
- What the terms of the job offer are.
Underwriters will be unlikely to consider pay over and above your basic salary at this stage, as if you are on probation it can be hard to prove what bonus, overtime or commission you might expect to receive in the future.
How Can I Apply for a Remortgage When in a New Job?
The best option is to contact the Revolution Finance Brokers team as an independent, whole-of-market broker.
One way to improve your application is to demonstrate that you have a year or more experience in the same sector. That means that if the probation period were not successful, you'd have a good chance of finding a similar job and therefore you are a lower risk.
In most cases, using the length of your employment as a basis is used in other lending scenarios such as applying for a bank overdraft.
Why is it More Complicated to Remortgage in a Probationary Period?
The problem is that many mainstream lenders consider a probation period applicant higher risk. There is a chance that you won't complete the probation, and the role will not become permanent.
It is also possible that, were the business to announce redundancies, newer staff not owed redundancy pay and on probation would be the highest risk employees.
When you are new in a job, you won't be able to provide a minimum number of payslips.
However, you can undoubtedly find competitive lending, and by working with an experienced broker, you can secure attractive rates with reputed lenders.
Does My Job Type Make a Difference to my Remortgage Application?
It does because public sector workers - like doctors and teachers - have a more secure work base.
Your application will be evaluated on its merit, so it is vital to work with a specialist broker who can ensure you put your application forward in the most favourable way.
How Does Being in Probation in My Sector Impact My Remortgage Options?
Some roles attract different mortgages; such as key workers who can apply for better mortgage rates. These are available to staff in education, health and public safety roles, amongst others.
Keyworker mortgages are typically available to staff working for:
- Ambulance Service
- Fire Brigade
- HM Prisons
- Local authority schools
- Police services
- Public Transport
Unfortunately, this type of mortgage is rare, and many of the government-funded schemes no longer exist. However, keyworker mortgages are available through selected lenders. If you work in a public sector role and are on probation, you have a far higher chance of approval with a mortgage aimed explicitly at your sector.
For those outside of the public sector, there are still multiple options - give us a call on 0330 304 3040, and we'll be happy to explain the best alternatives!.