Military Mortgages

The above podcast includes information which was correct at recording, some information may have changed.  See the below page for up to date information.

Are there specific mortgages for military personnel?

There are certainly specialist mortgages available, which have particular elements that suit military personnel. A lot of brokers and some smaller lenders may class themselves as being military mortgage providers. But these are all independent of any military organisation – they are simply brokers and lenders like any other.

Mortgages for military personnel are more focused on the difficulties you might face with gaining approval. It may be that you are living at an overseas address or on a UK base which makes it more difficult – particularly with credit searches, which are a crucial part of lending. 

Some lenders will give military personnel extra leeway, to allow for times where they may be overseas. They may ask for further information but it will let them provide more flexibility. 

How does the application process work for military mortgages?

In the same way as a normal application, it’s a case of providing information to the broker. That might include whether you are going to be deployed in the future and will be away from home for periods of time. 

Your mortgage broker can then discuss this with a lender. There are certainly certain mortgage providers that are more flexible and will encourage people in the military to get a mortgage. So there aren’t specifically military mortgages – just greater flexibility. Some lenders do understand the military more than others. 

In terms of application, it’s a case of providing as much information as possible about your current situation and your future status. That way we can present you with options that may suit your particular circumstances.

Should you buy a home while on active duty?

It’s never nice to look at the worst case scenario, but if something were to happen to you on active duty – or training – it’s all about getting yourself covered.

If you’re looking to take on a mortgage, the broker and lender will explore what happens if your income stops coming in. The right insurance policies will support you on that. 

The answer is you can buy a home when you’re on active duty, and it’s down to what the lender deems is the risk at that time. There are certainly some lenders that don’t offer mortgages to those on active duty but generally it’ll be down to having cover if something happens.

What mortgage assistance is available for military personnel?

It’s definitely better speaking to a broker. You can go to lenders direct but it’s a long and drawn out process, especially if you’re in a complex situation. A broker can help you find a suitable mortgage and we can tell you about the schemes available to help you buy a home.

The main scheme at the moment is the Forces Help to Buy scheme. People in the armed forces can borrow up to 50% of their salary as an interest free loan to help buy their first home. It gives you a deposit for a property – you can pay the loan back over time or when you sell.