Mortgages for Teachers UK
Public service jobs are among those that can influence your ability to get a great mortgage deal easily, and this includes teachers in particular. Working in the educational sector does of course have many perks, long summer holidays and half term breaks being the obvious ones, but these perks are balanced out by endless marking and late nights spent lesson planning.
There are other perks too, as being in the teaching industry can also give you the upper hand when it comes to getting a mortgage.
How can I get a teachers mortgage?
In order to be eligible for a specialist teacher mortgage, you must fit into one of the following categories.
- A qualified teacher
- An NVQ level 3 teaching assistant
- An NQT, or newly qualified teacher
- An NVQ level 3 nursery nurse
- A long-serving supply teacher
- A children’s therapist
As you can see, mortgages for teachers aren’t just for teachers per se, but for everybody who works within the education of children sector.
Can I get a mortgage as a supply teacher?
Teaching jobs and teaching contracts are different for all and for some; their career is spent filling in for other teachers’ absences in a variety of different schools, or as maternity cover and even sickness cover. If you have a fixed term or temporary contract, are a permanent supply teacher who moves from school to school on a regular basis and therefore you sometimes or often have a varying income, you may be afraid that you will struggle to get a good mortgage deal.
Don’t despair; all you need is an expert helping hand. Nowadays, there are a myriad of specialist lenders who will work with you, as long as you can show that you have been in your current position for a prolonged period of time and that you still have time left until your contract is over. As well as viewing contracts, as a self-employed teacher, if you have at least one year’s set of financial accounts, and preferably three years or over, you’re going to find that there are lenders who will be willing to look at your circumstances.
Can I get a mortgage if I’m on a fixed term teaching contract?
Several teaching posts now only come with a fixed term or temporary contract, and again we’ve often found that teachers on these contracts have been put off from applying for a mortgage. In fact, if you still have a decent period left on your contract and you can show a past history of moving successfully from contract to contract with no’large’2 gaps in between, some lenders are going to be more than willing to look at a mortgage for you.
Can I get a mortgage if I’m a newly qualified teacher?
If you have just qualified as a teacher and you are looking for a teacher mortgage, then you should be aware that there are now specialist newly qualified teacher (NQT) mortgages, which could be the perfect option for you. As always, it’s in your best interest to seek professional advice from an experienced mortgage broker to be sure you’re finding the right deal for you.
Key facts for newly qualified teachers to bear in mind: –
- Some lenders can lend to NQTs two months before starting your first contract, as long as you have passed your PGCE
- You could potentially move into your new home before you even begin your very first teaching job
- Some lenders offer mortgages to buyers with as little as a 5% deposit
- The standard 12-month first post is considered equal to a permanent position by some lenders
Can I get a teacher’s mortgage if I have bad credit?
Nobody’s perfect, not even teachers, and having bad credit will affect your likelihood of securing a preferential mortgage rate, however it doesn’t preclude you getting a mortgage deal altogether. Depending on your circumstances, some lenders will still consider you, but there may be a consequence, such as having to pay a higher deposit.
Can teachers get a Help to Buy mortgage?
The answer is yes, but obviously dependent on your circumstances. The help to buy scheme is still in operation at present, and helps people who don’t have a sizable deposit to buy their first home. With a Help to Buy Equity Loan, the Government lends you up to 20% of the cost of a new build home, meaning you only need a 5% deposit and a smaller mortgage to make up the rest.
Can I get a mortgage as a retired teacher?
You may be able to get a teachers mortgage even if you’re retired. Your circumstances will dictate what lenders are willing to offer you, and you’re likely to find that your offers are age dependent and linked to you having a sizable deposit for the property.
However, you should be aware that as a retired teacher it’s well worth you speaking to a specialist broker so that they can give you the appropriate expert advice.