MORTGAGES FOR THE SELF EMPLOYED
If you are self employed ,a company director or unable to prove your income, it can be difficult finding a suitable mortgage.
There are a number of reasons why it is often more difficult for those in such situations, the main ones are that the income tends to fluctuate and they are unable to prove their income like those regularly employed who can produce payslips.
Obviously, before lending the money, the mortgage lender will want to be as sure as they can be that the person they are lending it to will be able to repay it as required of them and to achieve this they need to know the income of the person.
Not being able to prove your income, or having an income that is not guaranteed to be a certain amount each month is what causes the problems when looking for a self employed mortgage.
Most lenders will require that those applying for a self employed mortgage provide between one to three year's worth of audited accounts to prove that they have sufficient income to cover the mortgage repayments.
These accounts need to be certified by a chartered or certified accountant in order to be accepted by the lender as proof of the potential borrower's finances.
If you are unable to produce audited accounts for the required period of time, then there is another option open to you - the self certification mortgage . This type of mortgage allows the borrower to declare their earnings and certify them themselves. The lender takes this as proof of the person's earnings and bases their judgement of whether to approve the self cert mortgage on this.
With self cert mortgages, the lender may require a larger deposit , and the interest rates are likely to be slightly higher when compared to full status self employed or standard mortgages.
I have access to all the UK's lenders who do mortgages for the self employed.
The overall cost for comparison is 8.2% APR.
The actual rate available will depend on your circumstances. Ask for a personalised illustration.
Your home may be repossed if you do not keep up repayments on your mortgage
.Coleman Clough Mortgages is an appointed representative of Coleman Clough Investment Management which is authorised and regulated by the Financial Service Authority.Typically we charge £395 for advising on and arranging your mortgage.Coleman Clough Mortgages, The New Barn, Home Farm, The Avenue, Esholt, West Yorkshire, BD17 7RH
A brief history of Yorkshire
Yorkshire is an historic county of England, centred on the county town of York, and was originally composed of three sections called Thrydings, now referred to as Ridings. The region was first colonised during the first millennium by Romans, Angles and Vikings. The name Yorkshire first appeared in writing in the Anglo-Saxon Chronicle in 1065.Following the Norman Invasion, Yorkshire was subject to the punitive harrying of the North, which caused great hardship. The area proved to be notable for uprisings and rebellions through to the Tudor period. During the industrial revolution, the West Riding became the second most important manufacturing area in the United Kingdom, while the predominant industry of the East and North Ridings remained fishing and agriculture. In modern times, the Yorkshire economy has suffered from a decline in manufacturing output which has affected the traditional coal, steel, wool and shipping industries.