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  • Writer's pictureAnnie Hunt

I'm self-employed - can I get a mortgage?

Yes, you absolutely can. You can get the same mortgage rates as anyone else, you just have a more complex income and need to be able to prove what that income is.

Loads of us are self-employed these days, over 4.8 million according to the Office of National Statistics, and although proving your income is vital, it is absolutely the case that we will still be able to secure you a great deal.

Before the credit crunch of 2007 you could apply for a ‘self-certification’ or ‘self-cert’ mortgage, meaning you just told the mortgage lender what you earnt. Abuse of this system led to the term ‘liar loans’ as more and more people exaggerated their income, leading to the eventual banning of these types of loans.

Although it is now a slightly harder for the self-employed, freelancers, and contractors to get a mortgage, it’s certainly not impossible.

Most mortgage lenders will be happy to lend to you if –

· You have been trading for three years

· You have 2 years’ accounts or self-assessment tax returns

Sole Trader & Partnerships – lenders will take net profits as income

Limited Companies – lenders will take salary and dividends as income, and in some cases salary and net company profits

You will improve your chances of getting a mortgage offer if you have

· Enough income to repay the loan

· A decent deposit

· Good credit history

If you’ve not been self-employed for 2 years and don’t have 2 years accounts, we could still find lenders willing to offer you a loan especially if you have been working previously in the same industry.

If you’re a first-time buyerread our top tips here.

If you already have a mortgage and want to re-mortgage, your current lender will already know your track record of keeping up mortgage payments. New lenders will also take this into account, so speak to a mortgage advisor.

Understand your accounts

You should have a chartered accountant certify 2 years of accounts; you should also have a good understanding of everything in them in case the mortgage lender asks questions. For example, if you have dips in your income, you may be required to explain why the fluctuations occurred.

What other areas can improve your chances of securing a loan?

➤ Get the right advice from your mortgage broker before you apply - Lenders all have different criteria, so we will be able to match you with the most suitable lender.

➤ Check your own Credit scores – check for any adverse entries, sort out any unpaid or late debts. Look at correcting any mistakes. You can check your own scores free at

➤ Make sure you’re on the electoral roll – this will help with your credit score. You can check if you’re on it with your local council.

➤ Get all your documents in order asap – you will need ID, utility bill with proof of current address, accounts if you have a Limited company, SA302’s and tax overviews for 1-3 years (sole trader or partnership), bank statements (3 Months), business bank statements (3 months), proof of deposit.

If you’re self-employed and considering looking for a mortgage loan, check out the info on our website and give us a call today to see how we can help.

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