"Starting a family is a huge financial commitment, but it’s also a time when you will need more space, want a bigger garden and like to be in an area with good schools."
At a recent event Accord held with a panel of brokers, many raised the recurring issue of applications from parents with young children who have large nursery bills every month.
Brokers highlighted the problem with assessing someone’s long term affordability on such a short term financial commitment, as most parents’ costs are considerably reduced when they receive 30 hours free childcare per week in the term following their child’s third birthday.
Accord's lending criteria allows it to ignore childcare costs if the child is due to start school within six months, although additional expenses such as wrap-around care will be taken into account.
It is also currently looking at other options for young working families, to ensure that their futures are "not hampered by out of date policies".
Accord said: "Starting a family is a huge financial commitment, but it’s also a time when you will need more space, want a bigger garden and like to be in an area with good schools. It’s a time when moving is a very real possibility, which lenders need to accommodate."
