Content Writer
Mortgage Advisor & Director
Whether you have a weekly lottery ritual, or casino winnings make up a significant percentage of your income, you may be wondering if and how your gambling habits will impact a mortgage application.
We look at how gambling can affect a mortgage application, if it’s possible to get a mortgage as a professional gambler, and why it’s important to find the right lender for your circumstances.
Does gambling affect a mortgage application?
Yes, gambling can impact your mortgage application, but it won’t always. The regularity of your betting patterns and how much you spend will determine how likely lenders are to have a problem with it.
A larger percentage of the population spend a few pounds per week on lottery tickets - if this is well within your affordability, it will most likely be overlooked. However, even something as insignificant as lottery tickets could be problematic if a substantial amount of your income goes towards this type of expense on a regular basis.
Similarly, if the amount spent per month shows to have steadily risen over time, this could be a red flag to a lender that your seemingly innocent habit may become problematic in the future.
How much gambling is too much?
This varies quite a lot from one lender to the next. Some lenders don’t like to see any regular gambling patterns on your bank statements at all. Some are willing to accept betting activity that they consider to be within your means. Using credit to support a gambling habit or a continued increase in the amount spent on gambling over time are the factors most likely to negatively impact your mortgage chances.
However, even where acceptable, a pattern of regular gambling expenses will likely be included during your affordability assessment. This sort of spending could, therefore, reduce the amount you’re able to borrow, even if lenders are happy to accept that you gamble often.
Certain lenders are much more flexible than others when it comes to gambling, with some even willing to consider gambling winnings as a form of additional income. However, these are likely to be specialist lenders who consider each case on its own merits.
Does it make any difference what you bet on?
Yes, it can make a difference for some applicants. For casual gamblers, any form of betting, whether at a physical casino, lottery-based, online slots, or sports-based, is treated in the same way. Gambling is risky, so lenders will want to know that you’re not spending more than you can afford to regularly, and that it won’t impact your ability to make your mortgage repayments.
If you’re a professional gambler, on the other hand, the type of gambling you make an income from can determine how lenders assess the risk in your application. For example, skill-based games where you have a history of winning large tournaments, such as poker, may be seen as more stable income than games of chance. Similarly, matched betting, which carries lower risk for experienced participants, may be seen as less problematic.
Types of gambling that lenders are likely to scrutinise include:
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Casino games and slot machines
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Online betting/gaming websites
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Betting through a bookmaker
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Sports betting
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Lottery tickets
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Bingo
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Scratchcards
What to do if you’ve been declined for a mortgage because of gambling
Whether you’ve been declined or a mortgage in the past due to gambling, or are concerned that you might be, there are steps you can take to improve your chances of getting a mortgage:
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The important thing to remember if you’re refused a mortgage due to gambling is that all lenders have different criteria. What may be seen as too risky for some lenders, could be perfectly acceptable to others, ironically, much like with gambling
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Don’t apply for another mortgage straight away, and certainly don’t apply for lots of mortgages in succession to see if different lenders will approve your application. Multiple mortgage applications in a short period can further impact your chances of approval
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Get professional advice from a broker who specialises in mortgages for those who have a history of gambling. We can look at the entire market for you to see which lender has criteria that best aligns with your gambling habits
At Teito we can help you to find the right lender, whether you like the occasional flutter on the horses or make your living as a professional poker player. Speak to our team today for further guidance.
Speak to a mortgage specialist
How far back do mortgage lenders look for gambling transactions?
When you apply for a mortgage, most lenders will want to see three to six month’s worth of bank statements. This could be more for higher risk applicants, such as self-employed people.
Lenders could also ask for further bank statements if they see a concern in spending in the initial three statements. This will particularly be the case if the spending increases, or takes you into your overdraft.
If you’re concerned that regular gambling deposits on your bank statements might be a problem during your mortgage application, reducing or stopping betting activity around six months prior to making an application. So long as there are no issues on your credit record, this will help you to appear more financially responsible when you apply.
Which lenders will approve applicants with a history of gambling?
As lenders have such different views on gambling, it depends on the significance of an applicant’s gambling history. For example, Halifax, Santander and HSBC are known to be fairly strict when it comes to regular gambling. However, Nationwide, Barclays and Natwest may be more flexible, so long as they consider the gambling to be within your means.
Specialist lenders tend to assess this type of application on a case by case basis, but there are only a few that will provide mortgages for professional gamblers, so it’s best to speak to a broker for further guidance.
Can gambling winnings count as income for a mortgage?
Some lenders will allow you to use gambling winning as an additional form of income to support a mortgage application, however, this will depend on your broader financial circumstances. However, keep in mind that lenders willing to do so are in the minority, and you’ll likely need to go through a specialist lender with more flexibility in their gambling-related criteria.
A better use of gambling winnings could be as a mortgage deposit, rather than a form of income. Most lenders are happy to accept a cash deposit, so as long as you can evidence gambling winnings, even a large one-off lottery win could be used as deposit, so long as you have an alternative income or savings to support the borrowing.
Mortgages for professional gamblers
There are fewer mortgage lenders who will accept mortgage applications from professional gamblers when this is their only source of income. There are around three lenders who may be willing to let you use solely your gambling winnings to qualify for a mortgage.
If you plan to use gambling income for this purpose, it’s a good idea to keep records of your winnings. While gambling winnings are not taxable, accounts that show stability may be accepted by some lenders when backed up by bank statements. Having accounts ratified by a qualified accountant can also be beneficial.
Typically, income will be treated as self-employed, so the more evidence that you’re able to show that gambling provides a steady income for you that doesn’t fluctuate too much, the more likely that it can be counted as income.
Again, income from skill-based gambling activities are more likely to be accepted than those with higher risk, such as roulette. You’ll usually also have a greater chance if you have a solid credit record and some savings to back up this type of income.
Why choose Teito for your mortgage needs?
Whether you have a history of gambling that’s seen you rejected in the past, are a professional gambler looking to use your winnings as income, or are simply concerned that you’ve bought lottery tickets too frequently, it’s best to seek out expert advice from a broker with experience in this lending niche.
At Teito, we help people just like you to secure mortgages every day, as we know which lenders have a greater appetite for risk when it comes to gambling. We can guide you through the application if needed, and ensure you get the best deal for your circumstances.
People lie you regularly choose Teito because:
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We have experience in arranging mortgages for professional gamblers and those with a history of gambling
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Our service is 5-star rated across multiple review platforms
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Your initial consultation is always free of charge
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We can help you secure an agreement in principle in minutes
Ready to take advantage of a free, no-obligation chat with a broker who specialises in securing mortgages for people with a history of gambling? Get started here.
FAQs
It depends on a number of factors, such as how severe your gambling issue was, and whether it impacted your credit record. It also depends on how long ago this issue was, as credit records only go back six years. If your addiction issues were longer ago than this, it’s unlikely lenders would find out, even if your credit score was impacted.
If you have a recent history of gambling addiction, however, particularly if it’s caused you financial hardship and/or impacted your credit record, this could be more problematic. If you have previously had mortgage arrears because of gambling, there are fewer lenders that will consider you a mortgage until your credit record is six years clear of any issues.
If you’ve sought treatment and have utilised blocks on online gambling facilities and your bank account, however, some lenders may be willing to consider your application sooner. It’s important that you speak to a broker with experience in this area, like ourselves.
Choosing an Adviser
Selecting a qualified and experienced mortgage adviser is of great importance. To choose a suitable adviser, evaluate their qualifications, experience, and reputation, and ensure they are regulated by the Financial Conduct Authority (FCA).
Read reviews from previous clients and make sure they provide a clear explanation of the products and services they offer, as well as the fees and charges associated with them.