Can A Student Get A Mortgage UK?

Time for a subject no one enjoys, but every student needs to get to grips with - mortgages. Fun right, not!

Nevertheless, as you journey through university, it’s important to understand UK mortgages. You’ll need to think about where you’ll live during your student years and beyond, after all.

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But here's the big question: Can a student in the UK get a mortgage? Let's break it down for you.

Is It Possible For Students To Get Mortgages In The UK?

You're probably wondering if you can secure a mortgage while still a student. Well, the answer is a bit tricky, but it's not entirely out of reach. Banks and lenders typically prefer borrowers with stable incomes, which can be a hurdle for students who rely on loans or part-time jobs.

However, the great resounding answer to this question is: yes! UK student mortgages do exist.

How Do Mortgages Work For UK Students?

So, we’ve cleared up that mortgages for UK students do actually exist. But how do they work?

Getting a mortgage as a student is a little different than for other UK citizens. Lenders typically require a regular income to ensure you can make the monthly repayments. This is where most students hit a snag because their income doesn’t meet the requirements.

Ofc, it may be the case that you earn enough as a student to qualify for this. In which case, go you! But most students don’t have a way to earn a regular income high enough to afford a mortgage.

Luckily, there are a number of alternate avenues students can go down!

How Can UK Students Get A Mortgage?

1. Apply For a Joint Mortgage

A joint mortgage is pretty handy because it allows a number of people to make payments. So, multiple people can help you pay, but you just own the property on their own.

This is an ideal way for others (usually family) to help you cover your mortgage as a student.

2. Buy For University Scheme

This scheme is another fab way to help students take their first step onto the property ladder.

It’ll take a lot of support from family members, but your name will be on the deed. This mortgage allows you to get on the property ladder early with a 100% loan-to-value while renting out rooms to cover the repayments.

3. Guarantor Mortgage

This is basically when you take out a mortgage, but have a guarantor is there as security in case you can’t make the repayments.

Don’t worry - you still own the property. But a guarantor is there just in case things get a little sticky!

4. Family Springboard Mortgage

Again, this involves some generosity from your relatives! If you know any financial stable relatives willing to put 10% of the property’s worth into a savings account as collateral, you just put in 5%.

How To Improve Your Chances Of Getting A Student Mortgage?

Okay, so that’s our handy list of ways you can nab a student mortgage. Still, it never hurts to improve your chances, right?

To help you get a mortgage as a student, have a guarantor available if necessary. Speaking to a family member in advance would be a wise move so they’re on board and ready to assist should this be the best option

Next - save, save, save! Saving as much as you can for a deposit will be a big help. Having a larger deposit will mean more mortgage lenders will be willing to consider your application.

If you’re struggling to save, sign up for platforms like Prograd to help you achieve your financial goals. A little hustling and you’ll soon see the cash stacking up!

Conclusion

Remember, the No.1 thing mortgage lenders want to know is that you can afford the monthly repayments. Just because you’re a student, doesn’t mean this isn’t possible! It just means you need to give lenders a little extra reassurance.

If you’re struggling, don’t hesitate to seek guidance from a mortgage advisor. They can provide expert advice tailored to your unique situation and help you explore your options.

With the right approach, we know you can start your journey to homeownership. So, from us to you - happy house-hunting!

If you are looking for student jobs near you, check out our guides around jobs in London, Birmingham, Nottingham, Manchester and Leeds.