New research from Nottingham Building Society highlights how outdated affordability rules are forcing aspiring homeowners to make difficult compromises – from delaying career ambitions to leaning on family support – as brokers call for products that better reflect today’s diverse working lives.
The survey of 500 UK mortgage brokers reveals that buyers with non-standard incomes continue to face systemic barriers when applying for a mortgage. More than one in five brokers (22%) report clients having to take extra steps to prove affordability because of their career choice or working pattern, while 17% say lenders have turned clients down outright because of income complexity.
One in seven (16%) brokers report that clients have experienced previous problems with mortgage applications because of their career choice, and 14% note that self-employed or freelance clients sometimes secure mortgages without significant difficulty, highlighting the variability in lender approaches.
At the same time, brokers are seeing the knock-on impact on people’s wider life choices. Almost one in five (18%) report clients have changed plans to pursue dream jobs, entrepreneurial ventures or passion projects because they fear it will hurt their mortgage chances. Additionally, one in seven (15%) say clients worry starting their own business would jeopardise their ability to get on the housing ladder.
One in five brokers (20%) report clients needing financial support from friends or family to get a mortgage, underlining the challenges of saving and borrowing without additional backing.
Despite these hurdles, the survey also shows progress, with 17% of brokers stating that clients who received tailored advice felt more confident about their mortgage journey, while 15% noted they’ve been positively surprised where lenders showed greater flexibility around income or employment status.
Aaron Shinwell, chief lending officer at Nottingham Building Society, said: “Careers in the UK are more varied than ever, but mortgage rules still favour the traditional 9-5. Our research shows that too many aspiring homeowners are holding back on life decisions – whether that’s taking a dream job, starting a business or pursuing a passion – because current lending models don’t account for the realities of modern work.
“At the same time, there are encouraging signs that some lenders are adapting, with brokers reporting cases where tailored support or greater flexibility has given clients new confidence. That balance of caution and innovation is key – and it underlines the importance of lenders continuing to evolve their products and criteria.
“Our priority is ensuring borrowers aren’t penalised for ambition or circumstance. By working with brokers and innovating responsibly, the sector can open the door to more people and make the mortgage market fit for the 21st century.”
