There are more self-employed people in the labour market than ever before, and the number continues to grow. Despite this increase, however, finding a mortgage when self-employed can be very challenging because the income stream isn’t as straight forward to prove. With over 15% of the labour force falling into this category, it seems illogical that many still struggle to secure property finance.
We understand how frustrating it is to be turned down by a lender or have limited access simply because you don’t pay yourself a large salary, or have only been trading a short time. Whatever your circumstances, Enness has a wealth of experience sourcing and structuring self-employed mortgages, and understand they come with their own unique circumstances and requirements.
In the bank’s eyes, self-employed individuals are less likely to have a regular and stable monthly income compared to those who are employed – although, every lender works differently. Some will look at salary plus dividends, others will look at net profit or net profit plus salary, and others will take one to three years’ worth of accounts or calculate an average instead.
Either way, affordability now dominates mortgage applications, requiring both self-employed and employed customers to provide in-depth details of both their outgoings and expenses, as well as overall income.
The good news is, the assessment of mortgages for self-employed clients has improved greatly – especially when the case is presented correctly by a broker. Although being self-employed is no longer as prohibitive when getting finance as it once was, finding a lender willing to take a holistic view of self-employment all comes down to access.
At Enness, a large proportion of our clients are self-employed. Our knowledge in this market is incomparable and experience in handling such cases is unrivaled. Many of our brokers have accountancy backgrounds, making them extremely proficient in securing your property finance.
At Enness, no problem is too big when it comes to mortgages, and we are fully committed to finding the best deal for our clients, whatever their circumstances. We are firm believers of the importance of taking the time to understand our clients’ unique requirements, and pairing them with the best lender for their situation. Our excellent relationships with every type of lender across the market enables us to do just this.