Can I Get a Mortgage if I’m Self-Employed?

Being self-employed doesn’t mean you can’t get a mortgage, but it can be more challenging than it is for someone in traditional employment. Lenders assess self-employed applicants differently, but with the right preparation and expert guidance, securing a mortgage is absolutely possible. Here’s what you need to know.

Understanding Lender Criteria

Lenders have different criteria for assessing self-employed applicants. Unlike employed borrowers who can present payslips and an employment contract, self-employed individuals need to provide proof of income over a longer period. Each lender has its own approach, which is why working with a specialist mortgage adviser is crucial.

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We are here to help you secure a mortgage if you’re self-employed. We have access to high street banks, building societies, and specialist lenders, ensuring we can find the best deal tailored to your circumstances.

Types of Self-Employment and How Lenders Assess You

Whether you’re a:

Sole Trader – Lenders typically look at your net profit.

Limited Company Director – They may consider your salary and dividends or sometimes retained profit.

Partnership – Your share of the net profit will be considered.

Contractor – Some lenders assess income based on daily or weekly rates, rather than accounts.

Understanding how different lenders assess income is key to maximising your borrowing potential. Our advisers research the whole market to match you with the most suitable lender.

Documents You May Need

Lenders require a mix of documents to verify your income and assess your affordability. These may include:

Accounts – Typically, two to three years of financial accounts prepared by an accountant.

Tax Calculations (SA302) and Tax Overviews – These show the income declared to HMRC.

Accountant’s Reference – Some lenders request confirmation of your financial standing from a qualified accountant.

Having these documents in order before applying can make the process smoother and improve your chances of approval.

How to Improve Your Chances of Getting a Mortgage

Keep Your Accounts Up to Date – Ensure your financial records are accurate and up to date.

Work with an Accountant – Lenders often prefer accounts prepared by a chartered or certified accountant.

Reduce Outstanding Debts – Lowering your existing debts can help improve affordability.

Save for a Larger Deposit – A bigger deposit may give you access to better mortgage deals.

Seek Expert Advice – A mortgage adviser can guide you through the process and match you with the right lender.

If you’re self-employed and looking for a mortgage, get in touch today and let us help you take the stress out of the process.