There is a criterion for what counts as self-employment, just like there is for the majority of mortgage-related issues. An individual should own a minimum of 20% of a business, and is the main source of their income, you will be considered self-employed by lenders. Most mortgage lenders will consider you self-employed if you are a company contractor or director or a sole trader.
You must provide proof of your share if you have a partnership. You must show how many shares you get from the net profit. A lender will also look at your tax returns. Lenders frequently take an average based on data from the previous two years. Although if there is an upward tendency, some specialized lenders may take the most recent year’s numbers into consideration.
When it comes to sole traders, lenders need them to provide their SA302 forms and tax calculations. They provide information related to your income and the paid tax. Most lenders suggest the sole to hire a chartered accountant for this. For more information on this, it is better to contact a mortgage expert from a reputed organization like Right Mortgage UK. Below are some of the reasons to contact a mortgage expert.
- A mortgage expert will let you know how to search for mortgage lenders to get a mortgage at a better ROI.
- They will explain everything that you need, which can make your application process easy.
- They will be available to help you if you are stuck anywhere when applying for a loan.
- If you don’t have time to find a lender, they will do that job for you. As they will have sound knowledge about the various lenders in your location, you can request them to find a lender for you. You can utilize the time saved to focus on your other business-related work.
- As they will guide you at every step, you will not be stressed anymore. In fact, you can stay relaxed.
- They will also provide you with some good advice on budgeting, to save money for the deposit.
- They will suggest how to clear your debts and improve your credit score for getting a mortgage at a better ROI.
What to look for when choosing a mortgage expert online?
- Choose an expert who has good experience in this field. As we all know with experience comes knowledge. Experienced mortgage experts know what needs to be done to get a mortgage quickly.
- Choose a trustworthy mortgage expert always. Otherwise, your information would be at risk. You can always read client reviews to know whether a mortgage expert is trustworthy or not.
To apply for a mortgage, you need to keep the below documents ready.
- Credit report. Check whether all the information provided on your credit report is correct before you submit it to a lender.
- Address proof such as bank statements, driving license, etc.
- ID Proof
- Bank statements for the last three to six months.
Your time would go wasted if you don’t keep the above documents ready. Some lenders may require more documents from you. To know about them, contact the customer support team of a lender beforehand.
