Getting a Mortgage When Self-Employed

Getting a mortgage when self-employed


If you’re self-employed and dreaming of buying a home, you might be wondering if getting a mortgage is even possible. With the increasing number of self-employed individuals in the UK, it’s essential to understand the challenges they face when it comes to securing a mortgage. In this article, we will explore the mortgage process for self-employed individuals and provide valuable insight and guidance on how to increase your chances of getting approved for a mortgage.

Understanding the Self-Employed Mortgage Process

Lenders assess various factors such as your income, credit history, and affordability. As a self-employed individual, you may face extra scrutiny compared to regular employees, mainly because your income might be irregular or fluctuating.

When applying for a mortgage, it’s important to familiarise yourself with the process. It typically involves three main stages:

Mortgage pre-approval – This is the initial assessment carried out to check your eligibility for a mortgage. As a mortgage broker we can help establish what mortgages you are eligible for. This will be different for each person and will be based on your individual circumstances. Once a lender and mortgage product have been found, we would then submit an initial agreement in principle.

Mortgage Application – The next step is to submit a full mortgage application. This is only done once an Agreement in Principle has been issued and an offer has been accepted on a property you wish to purchase.

Mortgage Offer – This is when your mortgage application has been fully accepted. Prior to the mortgage offer being issued the lender will have carried out a full underwriting process which will normally involve things like a full check of income documents, company accounts and bank statements.

Self-Employed Mortgage Eligibility

Securing a mortgage requires meeting certain criteria. Lenders typically consider factors such as your income, the nature of your business, and the length of self-employment. Providing proof of income is crucial, and this often includes submitting tax returns, business accounts, and bank statements. Proving financial stability and affordability is key to increasing your chances of mortgage approval.

As self-employed mortgage specialists we can help you establish if you are eligible for a mortgage and if so, what options are available to you.

Financial Documentation for Self-Employed Mortgages

As a self-employed individual, you’ll need to provide specific financial documents when applying for a mortgage. These may include tax returns for the past few years, business accounts, profit and loss statements, and bank statements. It’s important to keep your financial records accurate, up to date, and well organized. By preparing these documents in advance, you can strengthen your mortgage application.

The type of documents you will need to supply to the mortgage lender will be based on your individual circumstances and can vary from lender to lender. They type of things that can affect this are, how long you’ve been trading for? are you sole trader or limited company? has your income been increasing or decreasing?

Self-Employed Mortgage Options

In the UK, there are various mortgage options available in the market. These include fixed rate mortgages and variable rate mortgages. Fixed rate mortgages offer stability with predictable monthly payments, while variable rate mortgages fluctuate based on market conditions.

If you are self-employed, you will still have access to the same mortgage products as you would being employed, as long as you meet the lenders self-employed criteria.

We can help you explore the options and understand their pros and cons to help you make a decision based on your financial situation.

Tips for Improving Self-Employed Mortgage Approval Chances

To improve your chances of getting approved for a mortgage as a self-employed individual, there are several strategies you can follow. First, maintaining a good credit score is essential. Pay your bills on time and resolve any issues on your credit report.

It is also a good idea to get all your accounts/self-assessments fully up to date and in order. If you have a clear and up to date track record of income, then this will help your chances of being approved for a mortgage.

Overcoming Challenges and Seeking Professional Advice

Self-employed individuals can often face challenges when applying for a mortgage due to their irregular income.

Here at Complete Mortgage Advice we are specialists in self-employed mortgages. We can provide tailored advice to help you through the intricacies of the mortgage application process when self-employed.

We can help you establish what the most suitable mortgage deals are for your circumstances and then assist you with the application process.


While getting a mortgage as a self-employed individual may present challenges, it is certainly possible with the right preparation, documentation, and professional guidance.

By understanding the mortgage process, preparing documentation in advance, and exploring suitable mortgage options you can increase your likelihood of securing a mortgage and fulfilling your dream of home ownership.

If you are self-employed and want to know if you can get a mortgage then get in touch today, we would be happy to help.

Mortgage broker

Mortgage Broker

01752 905011

Your Home (or property) may be repossessed if you do not keep up repayments on your mortgage. There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances.

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