{"id":14458,"date":"2020-02-19T09:00:00","date_gmt":"2020-02-19T01:00:00","guid":{"rendered":"https:\/\/www.dev.articusfinance.com\/uncategorized-ch\/is-it-possible-to-arrange-large-mortgages-for-self-employed-borrowers"},"modified":"2023-09-14T15:01:09","modified_gmt":"2023-09-14T07:01:09","slug":"is-it-possible-to-arrange-large-mortgages-for-self-employed-borrowers","status":"publish","type":"post","link":"https:\/\/backup.articusfinance.com\/ch\/blog\/is-it-possible-to-arrange-large-mortgages-for-self-employed-borrowers","title":{"rendered":"Is it possible to arrange large mortgages for self-employed borrowers?"},"content":{"rendered":"

In the UK, almost five million<\/a><\/u> individuals are currently self-employed. As this figure is only expected to rise, a growing number of owners or would-be buyers will be seeking self-employed mortgages<\/a>.<\/p>\n

<\/p>\n

Unfortunately, for those requiring large loans, self-employed mortgages can be a complex area. But, despite the difficulties, it\u2019s far from impossible \u2013 providing you have the right contacts.<\/p>\n

Why is it difficult to arrange self-employed mortgages?<\/h2>\n

In years gone by, arranging a self-employed mortgage was fairly straightforward, because borrowers were able to self-certify their earnings to take out a loan. Following the financial crisis, however, the application process became more stringent \u2013 and actually securing mortgages in general became far more difficult.<\/p>\n

For high net worth individuals (HNWIs), the challenges grows. Arranging finance over \u00a31 million is tricky in general, particularly if you need a high loan to value (LTV) mortgage or interest-only finance. Likewise, self-employed individuals who are also foreign nationals or expats will often find it incredibly challenging to secure favourable terms.<\/p>\n

The trouble arises when it comes to establishing how much self-employed borrowers can actually borrow. When mainstream lenders assess affordability, they usually take a \u2018tick-box\u2019 approach, using a fairly basic calculation based on an applicant\u2019s annual salary \u2013 which can be worked out using payslips.<\/p>\n

For the self-employed, affordability calculations are more complex. Especially if you have a large income, multiple income streams<\/a><\/u>, draw income from your business in an unconventional way, have only been self-employed for a short period, or have other complicating factors in your background.<\/p>\n

What\u2019s the solution?<\/h2>\n

The solution is to work with niche lenders, who are experienced in dealing with self-employed HNWIs. These lenders can understand and account for complex requirements \u2013 such as those who leave profits within their business, rather than drawing a large salary.<\/p>\n

Such lenders are also typically able to offer more complex finance terms, such as interest-only loans or high LTV finance. However, the nature of these lenders is that they generally can\u2019t be easily accessed on the high street \u2013 you\u2019ll need to work via an intermediary to procure the most favourable deals.<\/p>\n

That\u2019s where the services of a HNW broker like Articus Finance become invaluable. As you can see from our case studies<\/a><\/u>, we already have the crucial relationships in place \u2013 as well as the ability to understand and negotiate terms for complex clients, like foreign nationals<\/a><\/u>.<\/p>\n

But ultimately, the terms you will be able to secure as a self-employed applicant will depend on your unique circumstances \u2013 so if you\u2019d like to gain a sense of how we can help you, get in touch today and one of our brokers would be happy to advise.<\/p>\n","protected":false},"excerpt":{"rendered":"

In the UK, almost five million individuals are currently self-employed. As this figure is only expected to rise, a growing number of owners or would-be buyers will be seeking self-employed mortgages.<\/p>\n","protected":false},"author":1,"featured_media":14459,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[65],"tags":[],"class_list":["post-14458","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"acf":[],"jetpack_featured_media_url":"https:\/\/backup.articusfinance.com\/wp-content\/uploads\/2023\/01\/05_Hazeldine_20190813_MH15747_Screen-compressor-scaled.jpg","_links":{"self":[{"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/posts\/14458","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/comments?post=14458"}],"version-history":[{"count":1,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/posts\/14458\/revisions"}],"predecessor-version":[{"id":20917,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/posts\/14458\/revisions\/20917"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/media\/14459"}],"wp:attachment":[{"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/media?parent=14458"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/categories?post=14458"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/backup.articusfinance.com\/ch\/wp-json\/wp\/v2\/tags?post=14458"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}