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Strive specialises in various areas of mortgage finance, with particular expertise in helping to secure mortgages for yacht crew & seafarers. We understand the unique challenges faced by those in this line of work and are adept at navigating the often-turbulent waters of mortgage financing for crew members.
Challenges of securing a mortgage for Yacht Crew and Seafarers
Working as a seafarer is undoubtedly a unique and potentially lucrative lifestyle. However, it does present challenges when securing a mortgage. Most off-the-shelf lenders are not equipped to understand the nuances and complexities this occupation presents.
Non-standard Payslips
Yacht crew and seafarers often have non-standard payslips, which can complicate the mortgage application process. They may qualify for the Seafarers’ Earnings Deduction, meaning no UK tax is payable on their income. However, most mortgage lenders require applicants to pay tax for their income to be considered, creating a significant barrier for those in this profession.
Fluctuating Income
Income for yacht crew and seafarers can be highly irregular. These professionals might work for extended periods at sea, followed by time on land with no earnings. This creates peaks and troughs in income, making it hard for lenders unfamiliar with this lifestyle to assess financial stability. Traditional lenders often require predictable income streams, which can exclude many seafarers from standard lending options.
Non-UK Based Employers
Many yacht crew are employed by companies based outside the UK and are often paid in foreign currencies. This introduces the challenge of fluctuating rates of exchange. Most mortgage lenders only accept income paid in sterling from UK-based employers, significantly narrowing the field for those seeking a mortgage. These restrictions can affect whether you qualify and are deemed eligible for standard residential mortgage products.
Navigating these challenges requires deep expertise and a clear understanding of the financial circumstances of yacht crew & seafarers.
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What is a seafarer mortgage?
A seafarer mortgage refers to mortgage products designed to meet the needs of those working in this unique profession. While the mortgage terms and rates may match standard options, lenders offering them apply seafarer-friendly criteria. These mortgages often fall somewhere between domestic and expat products, helping seafarers working abroad while maintaining UK residency.
How Claiming the SED affects your mortgage prospects
Claiming the Seafarers’ Earnings Deduction (SED) can impact your mortgage prospects. While this tax relief allows for income to be tax-free if you’re at sea for a qualifying period, it’s still crucial to file a UK tax return. Doing so confirms your UK residency and proves your income stability, allowing you to qualify for a standard UK mortgage instead of an expat one.
Even with tax-free income, submitting a tax return allows lenders to better understand your financial situation and more favourably review your mortgage application.
Home insurance for seafarers
It’s not just the mortgage that can be complex—securing home insurance is another challenge. Leaving your home unoccupied for long stretches while at sea can invalidate standard policies. At Strive, we specialise in working with insurers who understand these risks and provide appropriate coverage.
Outstanding service and clear communication are at the core of what we do. But don’t just take our word for it—read firsthand experiences from our clients and discover why they rate us a 5-star mortgage broker.
Seafarer mortgage criteria
Criteria vary between lenders, but the following are common factors considered when applying for mortgages for yacht crew & seafarers:
- Employment: Whether you’re working for a UK-based or international company matters. Some lenders set specific rules around who you work for.
- Residency: You typically need to be a UK resident for at least 180 days and domiciled in the UK for tax purposes—even if claiming the Seafarers’ Earnings Deduction.
- Income: Some lenders require your income to be paid in sterling and deposited into a UK bank account. Others accept foreign currency, adjusting calculations for exchange rates.
Deposit requirements
Deposit expectations are similar to other borrower profiles. You can usually apply with as little as 5%, depending on lender criteria and property type. A larger deposit can improve your ability to borrow, unlock better rates, and boost overall affordability.
Borrowing capacity
How much you can borrow depends on your income, deposit, and overall financial picture. Most lenders offer around 4.5 to 5 times your annual income, though some may use a two-year average based on tax returns or payslips. Where foreign currency is involved, some lenders reduce (or “haircut”) your gross income to account for rate fluctuations
Exchange rate calculations
If you’re paid in a currency other than GBP, lenders will factor in the rate of exchange to assess the true value of your income. Some may deduct a percentage (e.g., 20%) to ensure they are lending responsibly. These rules can differ between lenders, so it’s vital to work with a broker who specialises in this niche.
Best mortgage rates for Yacht Crew & Seafarers
The best rates available will depend on your personal circumstances, including deposit, UK residency, and income structure. Lenders like HSBC and NatWest are known to offer seafarer-friendly mortgages, but it’s always best to review all options with a broker who understands this specialised market.
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Mortgage application process for Seafarers
1 Gather Documents
Collect two years of SA302s and tax overviews, three months’ payslips (if applicable), proof of ID/address, and bank statements
2 Consult with a Mortgage Broker
Book a consultation with a broker who specialises in mortgages for yacht crew & seafarers.
3 Review Options:
The broker will review your circumstances and match you with the right lenders.
4 Secure Agreement in Principle (AIP):
Obtain an Agreement in Principle (AIP) based on your income and deposit. This gives you an estimate of what you can borrow and strengthens your position with sellers.
5 Property Search:
Start your house search using the AIP as a budget guide.
6 Apply
Once you’ve found the right home, formally apply for your mortgage through the selected lender.
How can Strive help?
At Strive, we specialise in securing mortgages for yacht crew & seafarers. Our expertise ensures we match you with the right lenders, even when your income is irregular or paid in foreign currencies.
We help you navigate everything, from gathering documents to securing an Agreement in Principle and submitting a strong mortgage application. We’re committed to helping you obtain the best possible offer for your situation.
We’d love to hear from you – get started online or call us on 0330 043 1121 today to speak with one of our expert advisers.
FAQs for Seafarer Mortgages
Not always. While some lenders require this, others are flexible and adjust for rates.
Yes, provided you meet other criteria like UK residency and stable income.
Yes—while the rates may be similar, some lenders offer seafarer-friendly criteria that make it easier to qualify.
Yes, most lenders require UK residency (180+ days) and submission of a UK tax return.
Yes! It may be more challenging, but with the right expertise, support, and lender match, seafarers can absolutely apply and get approved.
Contact us today – we’ll work hard on your behalf to find you a competitive mortgage.
Call: 0330 043 1121.
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Jamie Elvin
Jamie is an expert in all things mortgages, and our most experienced broker. Connect with Jamie and get started to see how Strive Mortgages can help you.
