Client Scenario: Adam and Claire's Complex Purchase
Full case study: Full Case Study 1 — Adam and Claire: First-Time Buyers with Complex Circumstances. Walks through the adviser's analysis end-to-end.
Client Background
Which term matches: "£42,000 (held in a joint easy-access savings account)"
What does "Both have employer sick pay" mean?
Fill in the blank
______ — Adam 6 months full / 3 months half; Claire 4 months full / 2 months half
Property and Transaction
Adviser’s Task
Assess borrowing capacity and suitable LTV Recommend appropriate mortgage product Identify protection needs and recommend suitable cover Address Claire’s pregnancy and forthcoming maternity leave
True or false?
Assess borrowing capacity and suitable LTV
Mortgage Assessment
Income to use: Deposit: £42,000 toward purchase price of £308,000 = deposit 13.6%. LTV = 86.4%. Mortgage required: £266,000.
Which term matches: "£46,000 basic. Bonus: many lenders use 50% of average bonus = £4,000. Some lenders use full"
What does "Claire" mean?
Type the term that means: "£46,000 basic. Bonus: many lenders use 50% of average bonus = £4,000. Some lenders use full"
Match each term in "Mortgage Assessment" to its meaning
Tap a term, then tap its matching definition.
Protection Needs Analysis
Life assurance: Income protection: Critical illness: MPPI: Not recommended as primary solution given income protection is recommended. If budget restricted, IPI takes priority over MPPI.
Which term matches: "£266,000 over (say) 30 years — decreasing term assurance needed"
What does "Existing cover" mean?
Match each term in "Protection Needs Analysis" to its meaning
Tap a term, then tap its matching definition.
Fill in the blank
______ — two single life decreasing term policies (not joint — baby on the way; surviving parent must have cover after first death).
Maternity Leave Affordability
Adviser must stress-test the mortgage at SMP level: SDLT Calculation First-time buyers. Purchase price £308,000 (under £500,000 limit for FTB relief):
Which term matches: "90% of £38,000 = £34,200/year for first 6 weeks; then £184.03/week for 33 weeks; then zero."
What does "Worst point" mean?
Type the term that means: "90% of £38,000 = £34,200/year for first 6 weeks; then £184.03/week for 33 weeks; then zero."
Fill in the blank
______ — from approximately week 40, Claire on nothing (unless using annual leave); Adam’s
Other Considerations
Which term matches: "arrange from exchange of contracts; lender noted on policy"
What does "New build" mean?
Match each term in "Other Considerations" to its meaning
Tap a term, then tap its matching definition.
Fill in the blank
______ — seller to provide; buyers should note EPC rating for future running costs