Securing a mortgage in today’s market can feel more complex than ever. With affordability checks, income assessments and stress tests now standard practice, it’s essential to prepare before you apply. At Mortgage Broker Greenwich, we help buyers and homeowners across Greenwich, Charlton and Kidbrooke strengthen their mortgage applications and understand how to improve borrowing potential.
📊 1. Understand How Lenders Assess Affordability
Lenders typically offer between 4 and 4.5 times your annual income, though this can increase depending on your credit profile, deposit size and stability of income. They also apply a stress test — assessing whether you could still afford repayments if interest rates rise.
💷 2. Reduce Existing Credit Commitments
Outstanding loans, car finance and credit card balances directly affect how much you can borrow. Paying down short-term debt before applying for a mortgage can significantly increase affordability.
- Clear high-interest credit cards first.
- Avoid new borrowing in the three months before applying.
- Check your credit utilisation stays under 30% of available limits.
🏦 3. Strengthen Your Deposit Position
Buyers with a larger deposit can access better rates and potentially higher income multiples. Even an extra 5% deposit can move you into a more competitive loan-to-value (LTV) bracket and lower monthly repayments.
If you’re receiving a gifted deposit from family, make sure the source is documented early — lenders require signed declarations and ID verification.
🧾 4. Keep Financial Records Consistent
For self-employed applicants in Greenwich — contractors, freelancers and company directors — lenders look for 2–3 years’ accounts or SA302s that show stable income. Avoid moving funds between business and personal accounts close to application time, as it can delay underwriting.
🔍 5. Review Your Credit File
Small details such as incorrect addresses or outdated accounts can impact your score. Download your report from Checkmyfile or another credit agency before applying. Ensure you’re on the electoral roll and that all active credit accounts are paid on time.
📆 6. Time Your Application Strategically
If you’re planning to remortgage, start preparing 6 months before your current deal expires. For first-time buyers, getting an Agreement in Principle early helps you understand borrowing limits and puts you ahead of other buyers.
💡 7. Choose the Right Mortgage Product
Affordability isn’t just about how much you can borrow — it’s also about long-term sustainability. Fixed-rate mortgages offer stability, while tracker or discount products may suit buyers expecting income growth or short-term ownership.
🏠 8. Consider Joint or Guarantor Applications
Applying jointly with a partner or family member can increase borrowing potential, as lenders consider combined incomes. Some offer family-assisted mortgages or Joint Borrower, Sole Proprietor (JBSP) options that allow parents to help without being on the property deeds.
⚙️ 9. Avoid Common Mistakes
- Don’t switch jobs just before applying — stability is key.
- Avoid payday loans or overdraft usage.
- Keep regular income and spending patterns for at least three months.
- Don’t apply with multiple lenders simultaneously — it can hurt your credit score.
🌍 10. Work With a Local Specialist
Understanding how national lending criteria apply locally can make a big difference. Local specialists familiar with Greenwich postcodes (SE10, SE7, SE3) can help match you to lenders that understand regional property types, from period conversions near Greenwich Park to modern flats in Kidbrooke Village.
📞 Next Steps
If you’re planning to buy or remortgage in Greenwich this year, preparation is everything. Send an enquiry and we’ll connect you with an adviser who can help outline your options clearly before you apply.