The UK Banks Offering Mortgages for the Self-Employed

UK Self-Employed Mortgage

By Ed Emerson

In our forthcoming report The 5 Steps to Getting a Mortgage When You’re Self-Employed, we look at the crucial phases involved in the application process, how best to navigate them, and the best banks to approach to get a mortgage when you’re self-employed, a consultant, a freelancer or company director / major shareholder.

Today we’re going to point you towards one of our top 6 preferred lenders in this space, and who we consider is the most flexible bank for these types of mortgages in the UK.

Aldermore Bank is probably one of the most under-the-radar providers of mortgages for the self-employed and/or those who run their own business.

UK Self-Employed Mortgage

In practical terms, they accept 2 years’ accounts prepared by a suitably qualified accountant or your last 2 years’ SA302 and accompanying Tax Overview documents obtained from HMRC.

Unlike high street lenders they will usually use the latest years’ figures rather than an average of the last 2 years when making their assessment, if your net profit is level or rising. That’s great news for newer businesses or if you had a particularly good year in the last year of trading.

The following is considered for income purposes:

  • Sole trader: annual net profit
  • Partner: annual share of net profit
  • Director: annual salary and dividends

Now just keep in mind that there are a number of things you absolutely must do before you apply for a mortgage for the self-employed in order to exponentially increase your chances of success. You can find out about these by signing up for our free report (out soon) and might even save yourself huge amounts of hassle and/or a mortgage rejection. 

Want to know more? 

Why not see what HNW Magazine’s Self-Employed Mortgages section here has to offer you in terms of advice, guidance and options. And look out for HNW Magazine’s report The 5 Steps to Getting a Mortgage When You’re Self-Employed for consultants, freelancers and entrepreneurs, out soon, and take advantage of the mistakes others have made so that you don’t have to.

Ed Emerson, Editor, HNW Magazine

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