Mortgage Solutions designed for Medical Consultants

Through a real-life case study and comprehensive insights, we explore mortgage options, including incorporating private income, leveraging contract changes like Sláintecare, maximising overpayment benefits, and the advantages of partnering with experienced advisors.

CASE STUDY: OUR FIRST TIME BUYER CLIENTS
Meet Sarah and John who are First-Time Buyers. They returned home to Ireland in the summer of 2022 after John completed his fellowship in Canada. He quickly secured his HSE appointment and began setting up his private practice.

For mortgage purposes their income allowed the couple to borrow €900,000, however, the dream home they had their eyes on meant they required an additional €150,000 in financing. At Biograph we have relationships established with the leading banks and despite the typical requirement to provide two years income tax returns for private income inclusion into lending multiples, we successfully secured the necessary finance required based on just one-year returns.

John was also eager to start overpaying their mortgage as quickly as possible so we placed their business with a lender who will allow an unlimited number of overpayments on their mortgage without penalty. This was on the condition that they did not redeem their mortgage in full while on the fixed rate contract. This option could potentially save our clients thousands in interest payments and clear their mortgage in a shorter timeframe.

At Biograph we are committed to providing a comprehensive service. We conducted a thorough market analysis, carefully comparing lenders’ cashback offers with the lowest fixed-rate options available. Luckily, Sarah and John’s purchase of a second-hand B-rated energy home qualified them for a ‘Green Mortgage.’ This unique opportunity secured the lender’s lowest interest rate, fixed for three years @ 3.80%, along with €21,000 cashback on drawdown and an additional 2% off their monthly repayments until December 2030.

By choosing Biograph for their mortgage needs, our clients secured a bespoke mortgage solution at no additional cost, as we are remunerated by the lender. Our expertise in collaborating with credit teams to customise a solution reflects our industry experience and commitment to always prioritising our clients’ needs.

Common pitfalls individuals encounter when applying for a mortgage:
Lack of forward planning: We encourage clients to contact us several months in advance of seeking mortgage approval. Taking a proactive approach can help prevent potential delays with the mortgage application and ensure a successful outcome.

Not clearly demonstrating repayment capacity: This is the most common pitfall we come across. Lenders will want to ensure you can comfortably afford the monthly repayments. This can be illustrated simply through accumulated savings or consistent rent payments recorded in your bank account, or a combination of both. Lenders typically seek evidence of your repayment capacity spanning at least six months to gauge financial stability.

Not having mortgage approval prior to bidding on a house: Failing to secure mortgage approval before making a bid on a house can be detrimental. It’s crucial to have pre-approval in place beforehand, as it’s typically one of the initial requirements requested by the estate agent.

Top mortgage considerations for Medical Consultants:

• How will returning to Ireland after my fellowship factor into my mortgage application?
  When returning to Ireland post-fellowship, it’s worth noting that lenders acknowledge the considerable time spent obtaining your qualification and developing your speciality before securing your Consultant posting. They also recognise your earnings potential from both public and private work and are prepared to accommodate your unique circumstances which may not always fall within their standard credit policies.

• How soon can I include my private income and what do I need to provide?
  It is standard policy for lenders to request 2 years income tax returns if we are seeking to include this into the loan to income multiple. However, if we have one year’s income tax returns, we can work with the lenders to provide a solution to meet your circumstances.

• I’ve changed to the Sláintecare contract, how will this affect me?
  By changing to the Sláintecare contract, you may have seen an increase to your earnings. With top earnings on this contract at c. €260,000 you can borrow over €1,000,000 for mortgage purposes. The change of contract is quite straightforward, and you will only be required to provide 2 payslips based on your increased earnings.

• What are my overpayment options?
  Some lenders permit both regular and lump sum payments, enabling a quicker reduction of your principal and a shorter mortgage term. While overpayment limits vary, they offer opportunities for accelerated repayment. It is important to factor this into your considerations when applying for your mortgage to ensure you maximise your mortgage benefits while also maintaining financial stability.

Most lenders will allow a mortgage term to age 70. Whilst this can be beneficial for affordability purposes at the outset, it is the goal of most Consultants we meet to reduce (or cease) their private practice long before then. Having a flexible mortgage ensures clients have the option to overpay their mortgage whilst not being obligated to do so, making their goal achievable.

Why choose Biograph Wealth Advisors over dealing with the bank directly?
We offer a range of benefits to help you secure the ideal mortgage for your needs.

• No Additional Cost: Our services come at no additional cost. Biograph receives a remuneration payment from the lender on the successful drawdown of your mortgage.

• Access to Multiple Lenders: Gain access to a diverse pool of lenders, giving you a wide array of mortgage options tailored to your specific requirements. You also receive the same competitive rates and cashback offers as you would have, had you gone directly to the lender. Some lenders also deal exclusively through the advisor channel.

• Expert Advice and Guidance: Our team of knowledgeable experts will guide you through the maze of mortgage products, ensuring you’re fully informed and up to date with the latest offerings in the market. We have a network of solicitors, valuers, surveyors and bespoke home insurance providers to assist our clients, who will all be required throughout the process.

• Negotiation Power: Having well established relationships with lenders, we have the power to negotiate terms that might otherwise be outside standard credit policy, helping to secure approval that fit your unique situation.

• Convenience and Timesaving: We handle the entire mortgage application process on your behalf, from gathering documentation to liaising with your accountant and solicitor, saving you valuable time and effort.

At Biograph Wealth Advisors, we pride ourselves on building strong relationships with our clients offering exceptional support throughout the mortgage application process. Over the years, we have had the privilege of assisting numerous Medical Consultants in securing mortgages, earning their trust and satisfaction through our dedicated services.

In our 2023 survey of our mortgage clients, we received a Net Promoter Score (NPS) of 94. NPS is a globally used customer satisfaction metric that measures how likely your customers are to recommend your business to a friend or colleague. Above 70 is considered a top percentile score.

Theresa O’Connor, Biograph Wealth Advisors

About Biograph
Biograph Wealth Advisors is a wealth management company and mortgage specialist located in Dublin 6. Our client base includes a significant number of Medical Consultants, affording us a unique insight into the medical profession.

For more information please contact Theresa O’Connor at theresaoconnor@biograph.ie or on 01 498 0007.
Biograph Wealth Advisors is regulated by the Central Bank of Ireland.

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Pic of Theresa O’Connor: Orla Murray / Coalesce