Self Employed Mortgages

Mortgage Advice for Self Employed Applicants

Being self-employed does not prevent you from getting a mortgage, but the application process may involve additional documentation compared with employed applicants.



Harmony Mortgages helps freelancers, contractors and business owners explore mortgage options by comparing lenders that understand self-employed income.


Many lenders offer mortgages for self-employed applicants, although they may require evidence of earnings over a number of years.

Documents Lenders May Request

When assessing a mortgage application, lenders normally ask self-employed borrowers to provide financial documentation.

This may include:

  • SA302 tax calculations
  • Tax year overviews
  • Company accounts
  • Business bank statements

These documents allow lenders to confirm income and assess affordability.

How Lenders Calculate Income

Lenders usually assess income by reviewing financial records from the past two years.


Income may be calculated using:

Net profit for sole traders.

Salary and dividends for company directors.

Average income across multiple years.

Different lenders assess income in different ways, which is why comparing mortgage providers can be beneficial.

Getting a Mortgage With One Year of Accounts

While many lenders prefer two years of financial history, some lenders may consider applicants with only one year of accounts depending on the circumstances.



Factors such as industry experience, deposit size and previous employment history may influence lender decisions.

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Why Self Employed Borrowers Use Mortgage Advisers

Because lenders assess self-employed income differently, comparing mortgage products across the market can help identify lenders that are more flexible.



Harmony Mortgages helps self-employed applicants navigate lender requirements and explore suitable mortgage options.

FAQs

  • Can self-employed people get a mortgage?

    Yes. Many lenders offer mortgages for self-employed applicants.

  • How many years of accounts are required?

    Most lenders request two years of accounts, although some may accept one year.

  • Do self-employed borrowers need larger deposits?

    Deposit requirements depend on the lender and mortgage product.

  • Can contractors get mortgages?

    Yes. Some lenders specialise in mortgages for contractors.

  • Do lenders check business accounts?

    Yes. Lenders usually review accounts or tax returns.

  • Can I get a mortgage as a freelancer?

    Freelancers may qualify for mortgages if income can be verified.

  • What documents are required for self-employed mortgages?

    Common documents include tax calculations, bank statements and accounts.

  • Do self-employed mortgages have higher interest rates?

    Interest rates depend on lender criteria and loan-to-value.

  • Can company directors get mortgages?

    Yes. Lenders often assess income using salary and dividends.

  • Can Harmony Mortgages help self-employed borrowers?

    Yes. Harmony Mortgages helps compare mortgage options for self-employed applicants.