Hestia Mortgages

Self-employed Mortgages

Self Employed Mortgages

We’ll find your “yes” for a self-employed mortgage

Getting a mortgage when you’re self-employed means that you’ve got different hurdles to jump than your employed counterparts. It’s different, but not necessarily more difficult.

You just need someone by your side that knows what they’re doing. And that’s where we come in.

It can seem like a complicated process when you start looking for mortgages as a self-employed person. We’ve navigated this path before and we’ll take away the stress and confusion. We’ll set out precisely what you need to prove to a lender to get your application approved. We’ll help you collate all the documents you need and we’ll find a deal that suits your circumstances.

It doesn’t need to be tricky when you’ve got our experts on hand. You’ll be reassured and supported at every step of the way to make sure we find the mortgage that works best for you.

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


How many years’ self-employment do I need to get my mortgage?

Ideally, at least two years. You’re in a stronger position with the lender if you can demonstrate your last two years’ income. We can still help you if you haven’t quite hit the two year mark, but there may be fewer options available.

We usually ask to see your last two years’ tax calculations and tax year overviews. If you’re a director of a limited company director, then we’ll need your last two years’ signed accounts.

I’m employed by my own limited company. Am I classed as self-employed?

Yes, if your shareholding in your company is more than 25%.

I don’t take all of the profits out of the business. Can lenders look at my net profit?

Yes. Some lenders will calculate your eligibility for a mortgage based on your salary, plus net profit, as well as profit before tax. If you don’t take as much as you could in dividends, then we can use your last two years’ signed accounts to find a suitable lender.

How much can I borrow on a self-employed mortgage?

The general rule is that you can borrow 4.5 times your income. In some cases, this can rise to as much as 5.5 times your income (if you’re classed as a professional), or if your total income is more than £50,000.

I’ve not done this year’s accounts yet. Will that be a problem?

Not necessarily. So long as your last set of accounts is no more than 18 months old. If your accounts are not sufficiently recent, you’ll need to produce another set of accounts before you can apply for a mortgage.

How do I download my tax calculations and tax year overviews?

You need to log in to your HMRC online account.

For your tax calculations:

  • Follow the link ‘tax return options’
  • Choose the year from the drop down menu and select the ‘Go’ button
  • Select the ‘View return’ button
  • Follow the link ‘view calculation’
  • Follow the link ‘view and print your calculation’
  • Follow the link ‘print your full calculation’

For your tax year overview:

  • Follow the link ‘view account’
  • Follow the link ‘tax years’
  • Choose the year from the drop down menu and select the ‘Go’ button
  • Follow the link ‘print your Tax Year Overview’

Let us find your
perfect mortgage!

We’d love to help you! Get in touch to book a free no-obligation chat to discuss what you’re looking for. We’ll get to know you a little better and see how we can help you out with mortgage advice, insurance or financial planning.

Fill out the form, send us an email or give us a call. We look forward to meeting you soon!

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