The rise of the divorce mortgage.
The Ipswich Building Society has announced the launch of a Divorce Mortgage Programme, designed to help those who no longer fit neatly into standard mortgage criteria.
All of the lender’s residential deals will now be available to divorcees.
All 100% of income derived from child maintenance payments, will be taken into account when assessing mortgage affordability.
However for the lender to consider maintenance, it must be supported by a declaration from the Child Support Agency or by a Court Order. In addition the maintenance agreement must also still have at least five years to run.
The lender advises that all applications submitted will be reviewed on a case by case basis, and will undergo a manual underwriting process.
Despite as many as 42% of all marriages now ending in divorce, lenders offer little consistency in terms of mortgage lending criteria for divorcees. Criteria varies a great deal, with some lenders accepting 50% of child maintenance payments with in the affordability checks, and others not accepting child maintenance at all.
The Ipswich divorcee deals have been launched to plug this gap in the market, to help more divorcees buy a new home.
For a review of all mortgages market-wide, and a like for like comparison of the most competitive offers, call us at Deal Direct.
Whatever your personal circumstances, we will work tirelessly on your behalf to find you a lender whose criteria you fit.
For mortgage advice and a quote call us on 0800 048 8828.
