Mortgages for Nurses
Getting a Mortgage for nurses in the UK is complicated because of the variable nature of their employment. Most mortgage lenders will provide mortgages for nurses but there are also some main street lenders who may refuse the mortgage application of a nurse because of mortgage lending criteria and other set rules. As a nurse, earnings could include overtime, bank work and unsociable hours, which makes it complicated to calculate their regular income. As a market mortgage broker, we can help you with nurse mortgages by connecting you with a range of mortgage lenders. Nurses who are on a key worker contract may be eligible for a mortgage with some lenders. Key workers are those employed in essential services such as healthcare, education and emergency services. Lenders may offer special deals to key workers, including nurses, which could include lower interest rates or higher loan-to-value ratios. It is important to note that the criteria for these deals vary from lender
If you are a dentist, you can read our article on mortgages for dentists.
Growing Demand for Mortgage Programs for Nurses in the UK as Workforce Continues to Expand
As per the source, the statistics provided below were last updated on March 7th, 2022.
The demand for mortgage programs for nurses in the UK is increasing as the number of nurses entering the workforce rises. According to recent statistics, more than 50,000 nurses will be recruited to offset those who are retiring or leaving the workforce, delivering a net total of at least 50,000. This includes both international recruitments, which is expected to deliver between 51,000 and 57,000 more nurses, and training in England, which is expected to produce around 68,000 to 75,000 more nurses by 2024.
As more nurses enter the workforce, there is a greater need for housing and properties, and mortgage lenders are responding to this demand with various mortgage programs tailored to the unique needs of nurses. These programs may offer more favourable rates and terms compared to other professions due to the stability of nurses’ employment and steady income.
Retention of existing nurses is also a key part of the plan, with initiatives aimed at making the NHS the best place to work through providing health and wellbeing initiatives, expanding flexible working, and putting a greater focus on career development. This is expected to contribute between 3,000 and 9,000 nurses to the overall target by addressing the reasons why staff leave the NHS.
Overall, with the increasing number of nurses entering the workforce in the UK, there is likely to be a growing demand for mortgage programs tailored to the unique needs of nurses, and mortgage lenders may continue to offer attractive rates and terms to this relatively low-risk group.
How We Work
1: We contact you and take down your details, income outgoings, name, address etc.
2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.
3: You upload the documents and information needed via our channel our online portal.
Post Topics – Mortgages for nurses
What are the key mortgage criteria for nurses?
How do I get a nurse’s mortgage?
Can I get a mortgage as an agency nurse?
Can I get a mortgage if I regularly work overtime or variable shifts?
Can I get a mortgage if I’m a self-employed Nurse or carer?
Next Steps- Mortgage for self-employed nurses
FAQs- Mortgages for Nurses
How We Work
1: We contact you and take down your details, income outgoings, name, address etc.
2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.
3: You upload the documents and information needed via our channel our online portal.
What are the key mortgage criteria for nurses?
The first primary criterion for every lender is a stable and regular income so that you can easily pay back the loan repayments.
Also, mortgages are available to the nurses who are buying it as first-time buyers, those who are remortgaging, self-employed nurses and with short term contracts. There are other secondary criteria for bad credit applicants, student nurses and more. It is always better to connect with an experienced mortgage broker who can help you with affordable mortgage deals with a suitable lender.
How do I get a nurse’s mortgage?
Getting a nurse’s mortgage is complicated because of different working arrangements. It is sometimes impossible to get two nurses with the same contract or salary.
Some nurses may be on fixed salaries but with flexible shift patterns and also overtime which will affect the overall income. This type of work arrangement makes it difficult for a lender to determine the exact income of a nurse.
It’s actually true that most mortgage brokers don’t understand the complexities involved in nursing loans. That’s why talking to a mortgage broker who specializes in mortgages for nurses is essential. We understand the unique situation you’re facing and can refer you to lenders who can help you too.
Can I get a mortgage as an agency nurse?
A nurse can apply for a mortgage if he/she works as an agency nurse. An agency nurse is someone who works under a private company. He/she gets paid by the hour and not per patient. The company pays all the bills, including taxes and insurance. In this way, the nurse has no control over his/her finances. Agency nurses usually earn less than permanent nurses. They also have to deal with unpredictable shifts and irregular hours. These factors make it difficult for them to manage their finances. However, they still qualify for a mortgage because they have a steady source of income.
Can I get a mortgage if I regularly work overtime or variable shifts?
Yes, you can get a mortgage if you are working as a nurse on overtime or variable shifts. But there are some lenders who will only consider your basic salary instead of your overtime work or irregular shifts. However, lenders are looking for patterns in your income. If you have been working overtime for a long time, then your regular income should reflect that. Also, if you have been working irregular shifts for a while, then your regular income must reflect that. You need to show proof of these shifts in order to prove that you have been working overtime or irregular shifts.
If you want to know how much you can borrow using a nurse mortgage, please contact us today!. And if you are interested in Short-Term Mortgages, you can read our article.
Can I get a mortgage if I’m a self-employed Nurse or carer?
Getting mortgages for a self-employed nurse is becoming more common in the UK. As with the self-employed nurse mortgages, you will need only one year of the account statements but in some exceptional circumstances, lenders may ask for three years of the statements. Self-employed nurses must provide evidence of their earnings from their business.
Self-employed nurses often use a combination of accounts such as:
• Bank statement showing monthly income
• Tax return showing annual income
• Business bank statement showing monthly income
The above documents are required when applying for a mortgage.
Next Steps- Mortgage for nurses
There are many government mortgage schemes and initiatives that make nurse mortgages more affordable to all medical key workers. The schemes like help to buy, shared ownership etc. are meant for individuals who want to start on the property ladder. For instance, the help-to-buy scheme offers up to a 20% discount on the purchase price of the home. This means that you can save thousands of pounds during the process of buying a house. If you are a key worker in the UK, you can contact our team of independent mortgage advisers.
How We Work
1: We contact you and take down your details, income outgoings, name, address etc.
2: We will research the whole market and email you a detailed quote as well as a list of documents to proceed.
3: You upload the documents and information needed via our channel our online portal.
FAQs- Mortgages for Nurses
Can a nurse afford a house UK?
Yes, a qualified nurse is considered a key worker in the UK who can afford a mortgage on the house under different key worker property schemes. So, if you are a nurse who wants to own a house, then you can do so without any problem. You just need to find out which scheme suits you best. There are various schemes available for nurses and other key workers. Some of the most popular schemes include:
• Shared Ownership Scheme (SOS)
• Affordable Rent Guarantee Scheme (ARGS)
How do lenders work out how much I can borrow as a nurse?
Most nurse mortgage lenders use a mortgage affordability calculator to check the affordability of the buyer. They take into consideration the following factors:
• Your age
• Your current salary
• How much you earn per month
• What type of property do you want
• Whether you plan to pay off the loan within 5 years or not
In addition, they also look at your credit history. While it’s important to have good credit, it doesn’t mean that you cannot apply for a mortgage. Lenders are flexible and understand that people change jobs every now and then. If you have a bad credit rating, don’t worry because there are still options available for you. You can always opt for a personal loan instead.
Will the lenders take my nights, shift allowances and overtime into consideration?
You should use the same number of hours worked per week across the three months, and if possible, then try to work more than 40 hours per week. This will help you show lenders that you are reliable and committed to working full time. Nurses and other NHS staff should get the same allowance as everyone else. All banks and building societies have agreed to pay out the same amount to NHS workers. However, some lenders may ask for additional proof from you such as payslips, tax returns and bank statements.
I have both employed and self-employed nurse income. Will I be able to use both?
There are a handful of lenders who will consider both employed and self-employed income when working out how to lend you money. It is slightly more complex than this, however, so it is better to speak to a mortgage adviser who will be able to help you.
Can nurses with bad credit get mortgages?
A qualified nurse with bad credit history could also get a mortgage application approved, however, the mortgage options could be limited. When analysing a bad credit application, lenders are more concerned about how long ago the instance occurred and what steps you are taking to improve your credit score.
Do NHS nurses get discounts on houses?
Yes, NHS employees get special discounts on properties. These mortgage discounts vary depending on the lender and the type of property. For example, if you buy a shared ownership home through an affordable rent guarantee scheme, you’ll get a discount of up to £5,000. The discount depends on the size of the property and the type of payment you make. The discount is usually given after 12 months of making regular payments.
NHS nurses can also benefit from Help To Buy Scheme. These type of discounts for nurses allows them to purchase their first home with just a 5% deposit. There are no upfront costs involved and the government covers the rest of the cost.
If you’re a medical professional and looking to move house in the near future, you might want to think about buying a new home before selling your current one. This way, you can save money by getting rid of any outstanding debts and avoid paying stamp duty.
If you need to borrow money to finance your purchase, you will find that most mortgage providers offer competitive rates. It’s always better to contact a specialist mortgage advisor who can help you with key worker mortgage schemes.
Can a newly qualified nurse get a mortgage with available schemes?
Yes, a newly qualified nurse could also get a mortgage with government schemes such as Help to buy, mortgage guarantee scheme and many more. It is always better to consult your mortgage advisor before starting your mortgage application.
About The Author
Damian is an experienced mortgage broker, founder of NeedingAdvice.co.uk Ltd and company director. With over a decade working as a mortgage broker he has a strong understanding of hard to place mortgage cases. With hundreds of 5 star client reviews. hundreds of repeat clients his work speaks for himself.
He started NeedingAdvice.co.uk as a one man band with the philosophy of putting clients needs ahead of his own. This ethos of offering excellent customer service has helped the business grow over the years. He gets satisfaction on getting cases pushed through to offer stage where other mortgage broker and companies have failed.
Throughout his time as an adviser he has carved out a niche area of advice helping clients with their business protection requirements too. Having helped hundreds of client with Relevant Life Policies, Shareholder Protection Insurance, Keyperson Policies and other important protection requirements of large to small businesses.
At home he is a family man and likes to spend his time with his four children and wife Lisa. He enjoys going on holidays spending time with friends and going for walks.
Can a nurse afford a house UK?
Yes, a qualified nurse is considered a key worker in the UK who can afford a mortgage on the house under different key worker property schemes. So, if you are a nurse who wants to own a house, then you can do so without any problem. You just need to find out which scheme suits you best. There are various schemes available for nurses and other key workers. Some of the most popular schemes include:
• Shared Ownership Scheme (SOS)
• Affordable Rent Guarantee Scheme (ARGS)
How do lenders work out how much I can borrow as a nurse?
Most nurse mortgage lenders use a mortgage affordability calculatorWhat is an Affordability Calculator? An affordability calcul... to check the affordability of the buyer. They take into consideration the following factors:
• Your age
• Your current salary
• How much you earn per month
• What type of property do you want
• Whether you plan to pay off the loan within 5 years or not
In addition, they also look at your credit history. While it’s important to have good credit, it doesn’t mean that you cannot apply for a mortgage. Lenders are flexible and understand that people change jobs every now and then. If you have a bad credit rating, don’t worry because there are still options available for you. You can always opt for a personal loan instead.
Will the lenders take my nights, shift allowances and overtime into consideration?
You should use the same number of hours worked per week across the three months, and if possible, then try to work more than 40 hours per week. This will help you show lenders that you are reliable and committed to working full time. Nurses and other NHS staff should get the same allowance as everyone else. All banks and building societies have agreed to pay out the same amount to NHS workers. However, some lenders may ask for additional proof from you such as payslips, tax returns and bank statementsA record of a borrower's financial transactions often requir....
I have both employed and self-employed nurse income. Will I be able to use both?
There are a handful of lenders who will consider both employed and self-employed income when working out how to lend you money. It is slightly more complex than this, however, so it is better to speak to a mortgage adviser who will be able to help you.
Can nurses with bad credit get mortgages?
A qualified nurse with bad credit history could also get a mortgage application approved, however, the mortgage options could be limited. When analysing a bad credit application, lenders are more concerned about how long ago does the instance has occurred and what are steps you are taking to improve your credit score.
Do NHS nurses get discounts on houses?
Yes, NHS employees get special discounts on properties. These mortgage discounts vary depending on the lender and the type of property. For example, if you buy a shared ownershipA scheme where a borrower purchases a share of a property an... home through an affordable rent guarantee scheme, you’ll get a discount of up to £5,000. The discount depends on the size of the property and the type of payment you make. The discount is usually given after 12 months of making regular payments.
NHS nurses can also benefit from Help To Buy Scheme. These type of discounts for nurses allows them to purchase their first home with just a 5% deposit. There are no upfront costs involved and the government covers the rest of the cost.
If you’re a medical professional and looking to move house in the near future, you might want to think about buying a new home before selling your current one. This way you can save money by getting rid of any outstanding debts and avoid paying stamp dutyA tax paid by the buyer when purchasing a property..
If you need to borrow money to finance your purchase, you will find that most mortgage providers offer competitive rates. It’s always better to contact a specialist mortgage advisor who can help you with key worker mortgage schemes.
Can a newly qualified nurse get a mortgage with available schemes?
Yes, a newly qualified nurse could also get a mortgage with government schemes such as Help to buy, mortgage guarantee scheme and many more. It is always better to consult your mortgage advisor before starting your mortgage application.
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