The reasons why it's tough for sportspeople to get a mortgage

Careers in sport can often be financially lucrative. Current top Premier League football players have salaries typically ranging from £190,000 up to £290,000 while even players towards the bottom of the Premier League typically earn anything from £10,000 per week to £85,000 per week.

Other professional sportspeople also earn significant sums, not just from their sport but also from sponsorship and punditry deals.

However, getting a mortgage can often prove tricky for sportspeople even if they are a well-known figure. Here are three reasons why.

1. It's hard to prove a consistent income

Not all mortgage lenders will consider lending to a professional sportsperson. One of the main reasons is that it can be hard to prove a consistent income.

Many sportspeople are on short term contracts, meaning that their circumstances could change quickly. Agreeing a 25-year mortgage based on a 12- or 24-month contract can be tricky.

Many sportspeople also earn income through bonuses or additional payments. For example, footballers may receive additional income through wins, goals or promotion – but they could also see their salary fall if their team is relegated. It can be hard to prove consistent earnings.

In addition, there is the risk of injury. Boxers, in particular, struggle to get mortgage finance more than most as their career could be over in a single night in their prime. Injuries can also affect the earning potential of a range of other sports stars.

2. They take early retirement

While many people in other professions take mortgages over a 25- or 30-year term, this can be hard for sportspeople. For example, mortgage lenders often restrict lending to the age of 35 for footballers unless there is evidence of enough income into retirement.

The truth this that not all sportspeople will land lucrative management or television jobs after they retire. If an ex-footballer is in line for a pension from the Professional Footballers’ Association and starts a coaching career, that person will still face a significant reduction in income which may mean that their mortgage becomes unaffordable.

Other sportspeople may be able to borrow until later in life. Snooker and darts players as well as golfers can carry on past age 35 and their mortgage term can reflect this.

3. Affordability can be an issue

Lenders have to prove that a mortgage is going to remain affordable for a borrower.

Demonstrating affordability be difficult, as a range of income sources might have to be taken into account. These could include salary, sponsorship deals, image rights and endorsements.

Olympians can also find it tough to get a mortgage. While they get a grant from the Olympic sports fund to cover equipment and living expenses, they may have no additional income, even if they are a gold medal winner. Again, sponsorship deals may also have to be taken into account to prove they can afford the repayments.