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ArticlesAreaRemortgaging for the self-employed
Submitted by Martyn on Friday Nov 30, 2007 and viewed 207 timesTotal Word Count: 333
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Self-employment is a great way of achieving personal career goals, employment independence and the freedom to run your own business. In fact, over 3 million people in the UK are estimated to be self-employed. But it can prove to be problematic when you’re a homeowner too – especially as far as re-mortgaging is concerned.
Self-employment is a great way of
achieving personal career goals, employment independence and the freedom to run
your own business. In fact, over 3 million people in the UK are estimated to be
self-employed. But it can prove to be problematic when you’re a homeowner too –
especially as far as re-mortgaging is concerned.
Traditionally, self-employed home owners have struggled to re-mortgage their property. Sometimes it’s due to outstanding mortgage arrears. It can also be because their actual income is not reflected accurately in their accounts. Either way, someone who is self-employed is generally seen as a high risk investment for high street lenders than someone who has a standard employment and regular income and pay slips.
A high street lender would usually expect to see audited accounts from a qualified accountant or tax assessments as evidence that those in self employment can definitely keep up repayments. This information may not be readily available to you however.
But, as the number of people seeking self-employment has grown over the last five years, many mortgage lenders have developed deals that can help this particular market.
Self Cert re-mortgages are one such option for those working on a self-employed basis. With a self cert re-mortgage, it is possible to declare your earnings without P60’s and payslips as proof. This model offers a far more versatile lending option for those who need flexibility to their working lifestyles.
Such schemes can potentially be available for those with poor credit options.
A specialist self-employed mortgage advisor can provide guidance through this time consuming process. But the right advisor can offer experience and knowledge of the market, as well as having access to dealing with hundreds of regulated lending institutions, both independent and on the high street.
Interest rates will vary according to individual circumstances, but the mortgage advisor should be able to source out the best lending deal open to you.
Traditionally, self-employed home owners have struggled to re-mortgage their property. Sometimes it’s due to outstanding mortgage arrears. It can also be because their actual income is not reflected accurately in their accounts. Either way, someone who is self-employed is generally seen as a high risk investment for high street lenders than someone who has a standard employment and regular income and pay slips.
A high street lender would usually expect to see audited accounts from a qualified accountant or tax assessments as evidence that those in self employment can definitely keep up repayments. This information may not be readily available to you however.
But, as the number of people seeking self-employment has grown over the last five years, many mortgage lenders have developed deals that can help this particular market.
Self Cert re-mortgages are one such option for those working on a self-employed basis. With a self cert re-mortgage, it is possible to declare your earnings without P60’s and payslips as proof. This model offers a far more versatile lending option for those who need flexibility to their working lifestyles.
Such schemes can potentially be available for those with poor credit options.
A specialist self-employed mortgage advisor can provide guidance through this time consuming process. But the right advisor can offer experience and knowledge of the market, as well as having access to dealing with hundreds of regulated lending institutions, both independent and on the high street.
Interest rates will vary according to individual circumstances, but the mortgage advisor should be able to source out the best lending deal open to you.
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