Most lenders appear to take these into account when deciding how much to lend
Q I have a question based on the article you wrote in 2015. I am a deputy head teacher. My partner and I are having strong arguments over me stopping my pension, which I want to do so that I can get the best possible mortgage by providing three payslips clear of pension contributions. We are looking to increase the size of our house in north London as we have a young family. My partner doesn’t have a pension as she thinks they are the devil. She is freelance and so her payslips won’t be contributing to the mortgage process. It appears most mortgage firms do not overlook your pension payments. What should I do? MW
A To repeat what I said in May 2015, I most certainly wouldn’t advise anyone to cancel their pension contributions for a few months to boost their chances of getting a mortgage. Besides, there may be no point as a significant number of lenders don’t ask about pension contributions. In addition, lenders ignore pension contributions deducted from salary – as I assume yours are – because they are already taken into account in the net pay figure on payslips, which areused to assess affordability. In addition, stopping contributions won’t bump up the net pay figure by as much as you think because your tax bill goes up.
Continue reading...from Property | The Guardian http://bit.ly/2U0d4FS
via IFTTT
No comments:
Post a Comment