Best Way To Get High Value Mortgages

High Value Mortgages Summarised!

• The criteria’s pretty much the same as any mortgage – No matter how much you’re borrowing, it all still comes down to income. For example, if your household income is £50k and the lender offers 4x income, you’ll get £200k. If you’re earning £300k, that same lender could offer you £1.2 million. Simple maths, same rules, just bigger numbers.
• Fewer lenders in the game – This is where things start to change. As the loan amount goes up, the number of lenders willing to play ball goes down. At the time of writing, Virgin will lend up to £2 million, Halifax goes up to £4 million, and Barclay have no formal cap.
• Potential complications – High-value borrowers often have complex income situations e.g. bonuses, dividends, multiple income streams etc. That means proving your income might take more than just a few payslips and bank statements. Expect a bit more paperwork and possibly an accountant’s help.
• Credit rules exist, but they’re not always set in stone – Every lender has their own credit policy, but for the right client, those rules can be bent. Brokers can speak to BDMs (Business Development Managers) and push for exceptions. This isn’t just for big loans, but it’s a lot more common in this space, where people negotiate mortgage terms in between golf rounds, call their accountant by their first name, and think ‘net worth’ is a perfectly normal dinner topic.

Why it’s (almost) always best to use a Broker for High-Value Mortgages

Generally speaking, I think the best way to get a competitive mortgage is by using a broker. But when you’re dealing with million-pound loans, it becomes especially useful, because having a good broker is like hiring a wedding planner for a 300-guest party. You can DIY that shit, no doubt, but expect chaos.

I say that for a couple of reasons (some of which tie back to the points I mentioned earlier):

• Most mortgage brokers are free – Even up in the ivory tower, most brokers won’t charge you a penny. They’re paid commission by the lender, so expert help usually comes at no cost to you. In fact, they’re often itching to help, because the commissions on these kinds of loans are seriously chunky.
• Fewer lenders in the game – A broker can quickly figure out which lenders are actually an option for you. They’ve got access to tools that live-check available products, so you’re not wasting time chasing dead ends.
• They know how to fight your corner – If things get tricky and you need to bend a lender’s general policy, a broker can step in and build a strong case on your behalf. They know exactly what to say and who to say it to in order to give you the best shot at getting the loan over the line.

My mortgage broker recommendation!

I hate to do this (I don’t really), but I have to shout out my brilliant affiliate partner Habito at this point.

I’ve used Habito before (they’re my personal go-to for all things mortgages), and they’ve been my recommended broker of choice for the past few years. I know they’ve helped thousands of people secure mortgages in every nook and cranny of the market. They’re a 100% free online mortgage brokerage that searches the whole market – that’s over 20,000 mortgage products from 90 different lenders. They are freaking awesome.

To be clear: they never asked me to write this blog post, this isn’t some sponsored, cheesed-up, puff-piece. I was actually inspired to write it after hearing that one of my readers successfully secured a high-value loan through their services.

Find out how much you can borrow

Same old, same old.

As always, it’s a smart move to get a Mortgage Agreement in Principle (AIP) before you do anything else. It gives you a clear idea of how much you could potentially borrow.

A Mortgage Agreement in Principle is basically a lender’s way of saying, “Yeah, we’d probably lend you up to this amount, assuming everything checks out.” It’s not a guarantee, but it’s a solid starting point.

To get one, you just need to give your mortgage broker or lender some basic info about your income and outgoings from the last few years. That’s usually enough for them to run the numbers and give you an estimate.

Landlord out xo