22 Nov 2023

Kensington Mortgages

Kensington Mortgages Lending Criteria

1. Age Limits

  • Minimum Age: You need to be at least 18 when you apply.
  • Maximum Age at Term End: The maximum age allowed at the end of your mortgage term is 75. If you want the term to go beyond age 70 up to 75, it's possible, but only for repayment mortgages. Check out "Lending beyond age 70" for more details.
  • Age at Application for Those Borrowing Beyond 70: If you're looking to borrow beyond age 70, the minimum age at application is 55.
  • Young Professional Range: For this range, the maximum age at application is 40. Check the criteria for the age at the end of the term.
  • Customers Lending Beyond Retirement: If you're borrowing beyond your state retirement age, we'll need to check if it makes sense.

2. Bank Statements

  • Simplified Submission: We've made it easy to submit your clients' cases. Here's when we need to see those bank statements and why.
  • What We Need to See: Your client's name and address should be on all bank statements, and they can be from online banking.
  • When We Need Them:
    • For self-employed or contractors
    • To show child maintenance payments
    • To prove the gradual increase in deposit funds over time
  • Why We Need Them:
    • For the self-employed, we require 3 months of business bank statements supporting the latest SA302 or accountant's documents.
    • Contractors need to provide the latest 1-month bank statement to show the most recent contractor credit.
    • Child maintenance recipients need to show the latest month's bank statement reflecting these credits.
    • For purchase applications, proof of deposit funds is crucial, and the bank statements must demonstrate a steady buildup over time.
  • Note: Any significant deposits might raise questions. If it's a gift, it needs to align with our Gifted Deposit policy.

What Counts as Self-Employed?

  • Applicants holding 25% or more of a business share qualify.

Trading History

  • A minimum of 1 year's trading history is acceptable.

Income Considerations

  • For affordability assessment, we generally look at the most recent year's net profit for the self-employed.
  • Share of net profit after tax is considered for Company Directors with a minimum 50% shareholding.
  • Various documents can verify self-employed income, including SA302, accounts, and business bank statements.
  • Income verification must be by a qualified accountant or bookkeeper registered with specific professional bodies.

 Kensington Mortgages Contractors' Requirements

  • Contractors with a minimum of 12 months' experience, with contract renewals or a second contract, are eligible.
  • Income is calculated based on the weekly rate confirmed in the contract multiplied by 48.
  • One month of bank statements evidencing at least one salary credit is required.
  • Applicants with multiple contracts will be considered on a self-employed basis.

3. Acceptable Incomes

  • Employed income, specifically basic salary, is accepted.
  • Up to 50% of various income streams are considered for affordability.
  • Up to 100% is considered for applicants with a strong credit profile.
  • Documentation requirements include payslips and a P60 for most cases.
  • Cash payments, up to £15,000, are factored into affordability calculations.
  • Maternity or Paternity leave applicants need confirmation of intent to return to work and an employer letter with salary details.

4. Non-Gifted Deposit

Non-Gifted Deposits

  • If your client is providing the funds, evidence of the source is required.
  • Funds must be in a UK bank or building society for at least 3 months, unless from a recent UK transaction.
  • Large or recent deposits may require additional information on fund buildup.

Gifted Deposits

Gifted Deposit Sources

  • Immediate family members, including parents, step-parents, and grandparents, can gift a deposit.
  • For clarity on family relationships, evidence like birth or marriage certificates may be requested.
  • Up to 3 separate sources of Gifted Deposits are accepted.

Gifted Deposit Funds

  • Donors must show evidence of holding funds in their own UK bank or building society account for at least 3 months.
  • Additional information may be requested for gifted funds.


  • Donors complete a Gift Deposit Declaration form and provide supporting ID, such as a passport or driving licence.

Kensington Mortgages