Being self employed and listening to friends and family or Dave in the pub can sometimes mean you feel nervous or are expecting to be declined for a mortgage. That’s certainly not the case. There are very similar criteria in terms of how a lender will assess your application being self employed, whether you are a sole trader, a partnership, limited company or part of the CIS (Construction Industry Scheme) all having benefits in terms of assessing your income, normally, as a minimum period of 2 years.

There are a handful of lenders who will be happy with 1 years’ worth of  accounts or Tax Calculations (previously known as SA302’s). The aim is to keep up to date with your self assessments or keep on top of your accountant to ensure you are prepared in the best way to achieve what you want to. The best way to do this is to speak to us as we can get a plan in place to help ready you or give you our expert opinions on the best possible options for your needs and circumstances.

Proofs of income

Sole Traders – Tax Calculations and Tax Overviews (Previously SA302’s)

Partnerships – Tax Calculations and Tax Overviews (Previously SA302’s)

Limited Companies – We can use Directors Salary and Dividends, Net Profit, Profit before tax and a whole host of different variables (requiring limited company accounts and Tax Calculations and Overviews - Previoulsy SA302’s)

CIS Scheme – Did you know a handful of lenders will actually treat you as employed in terms of your income. With these you would only need 13 weeks CIS slips as a minimum up to two years as a maximum showing gross income, net income into your bank account and the slips themselves where 20% deductions is taken from you) Alternatively again you can use Tax Calculations and Overviews (Previously SA302’s if more suited to your needs)

Every lender out there has their own quirky bits of criteria and speaking to a broker like us will give you a clear outline of how best to proceed.

Your home may be repossessed if you do not keep up repayments on your mortgage