At Strive Mortgages, we specialise in arranging mortgages for investment bankers and understand the unique financial circumstances they may face.
Our extensive network includes high-street, specialist, and private banks, which allows us to secure property finance for investment bankers who may not meet the conventional lending criteria of mainstream lenders due to their complex income structures.
We recognise that investment bankers often have varying income streams, such as bonuses, stock options, and other non-traditional forms of compensation. This can make it challenging for them to qualify for a mortgage through traditional channels.
However, our team of experienced mortgage experts are well-versed in dealing with these complexities and can navigate through the nuances of investment bankers’ financial situations to find the most suitable mortgage options.
Understanding the complexities of investment bankers income
Investment banker income can be complex, and there are several factors that may pose challenges or complexities when it comes to obtaining a mortgage. Some of the complexities related to investment banker income that may affect the mortgage assessment process include:
- Variable income: Investment bankers often have variable income structures, including base salary, bonuses, and commissions, which can vary significantly from year to year or even month to month. This variability can make it difficult for lenders to assess the borrower’s income stability and ability to repay the mortgage, especially if there are significant fluctuations in income over time.
- Bonuses and commissions: Bonuses and commissions are common components of an investment banker’s income, but they may not be considered as stable or reliable by lenders when assessing the borrower’s income. Lenders may require a history of consistent bonus or commission income over a certain period of time to include them as part of the borrower’s qualifying income.
- Deferred compensation: Some investment bankers may receive a portion of their compensation in the form of deferred compensation, which is paid out in the future. Lenders may have different policies on how they treat deferred compensation, and it may impact the borrower’s income calculations and ability to qualify for a mortgage.
- Complex tax returns: Investment bankers often have complex tax returns that include various types of income, deductions, and investments. Lenders may carefully review these tax returns to determine the borrower’s actual income, which can add complexity to the mortgage assessment process.
- Job changes or career transitions: Investment bankers may change jobs or transition to different roles or firms, which can affect their income stability and impact the mortgage assessment process. Lenders may assess the borrower’s employment history, including job changes or career transitions, to evaluate the stability and consistency of their income.
- Non-traditional employment arrangements: Some investment bankers may work as independent contractors or have their own businesses, which can add complexity to the mortgage assessment process. Lenders may require additional documentation or financial information to verify the borrower’s income and business stability.
- Industry-specific regulations: Investment banking is a regulated industry, and there may be specific regulations or restrictions on how income can be earned, reported, or used for mortgage qualification purposes. Lenders may need to comply with these regulations, which can add complexity to the mortgage assessment process for investment bankers.
Due to the complexities associated with investment banker income, it’s essential for investment bankers to work closely with qualified mortgage professionals or financial advisors who are familiar with the unique aspects of their income structure and can provide guidance on navigating the mortgage assessment process effectively.
How much can you borrow?
The amount that an investment banker can borrow for a mortgage will depend on their individual circumstances, including their income, creditworthiness, and other financial factors.
Investment bankers may have higher earning potential compared to individuals in other professions, and some lenders may be willing to offer higher income multiples to accommodate their higher income level.
It is not uncommon for investment bankers to be offered mortgages with income multiples of 5.5 timestheir income or even higher
Which lenders offer mortgages to investment bankers?
While many lenders may offer mortgages to investment bankers, not all lenders may fully understand or have specialised products to accommodate the unique financial earnings of investment bankers. “Off the shelf” or standard high street mortgage lenders may have limitations in their products or underwriting guidelines that may not be well-suited to the complex income structures often associated with investment bankers
At Strive Mortgages, we specialize in arranging large loans ranging from £500,000 to £25 million for investment bankers and other high net worth individuals. Our network includes a wide range of lenders, from high street banks to specialist private banks, allowing us to offer a diverse range of mortgage options tailored to the unique needs of our clients.
Strive Mortgages: What we do
At Strive Mortgages, we pride ourselves on our in-depth knowledge of the mortgage market and our ability to find creative solutions for investment bankers who may fall outside of mainstream lending criteria. Our goal is to provide exceptional service and support throughout the mortgage process, from initial consultation to mortgage completion, and help our clients achieve their property investment objectives with confidence.