When it comes to navigating the mortgage process, having a broker who truly understands your situation and budget can make all the difference. A skilled broker will gather all the necessary information from you, taking the time to ensure everything is in order.

For homebuyers, the broker may ask questions such as the type of property you’re considering, your job type, income details, and family circumstances. Investors, on the other hand, may be asked about the estimated rental income of the property, desired deposit amount, location, and whether the purchase will be made personally or through a company structure.

Once armed with this information, the broker will research available mortgage rates and analyse the market, providing you with clear and relevant information that you can confidently rely on. This way, when the time comes to make a decision, you can proceed with the assurance that you have all the necessary facts at your disposal.

Mortgage brokers are dedicated to saving you time and can increase your chances of a successful application. Throughout the application process, they will:

• Provide a free consultation to discuss all available options
• Assess your borrowing capacity to determine how much you can afford
• Recommend the most suitable mortgage for your specific situation
• Assist you in gathering the necessary information and documents for your application
• Help prepare your application for submission
• Submit your application to the lender on your behalf
• Coordinate communication between the lender, solicitors, and us
• Offer ongoing support and guidance until the completion of your mortgage
• Remain available to address any future enquiries or requirements.

With their expertise and support, you can confidently navigate the mortgage process and receive the assistance you need at every step.

The availability of mortgage products depends on your individual circumstances, and several factors can influence the type of mortgage and borrowing capacity. Here are some standard mortgage products offered in the market:

• Repayment mortgage: Allows you to repay both the principal amount and interest over the mortgage term
• Interest-only mortgage: Requires you to pay only the interest on the loan, with the principal amount remaining unchanged until the end of the term
• Buy-to-let mortgage: Geared towards investors who plan to purchase properties for rental purposes
• Commercial mortgage: Intended for purchasing or refinancing commercial properties, such as offices, shops, or warehouses

These are just a few examples of the mortgage options available. To determine the best fit for your specific situation, it is advisable to consult with a mortgage advisor who can provide personalised guidance based on your needs and eligibility.

It’s a straightforward choice. You can either apply directly with a mortgage provider or enlist the assistance of a mortgage broker. If you need a recommendation, we can connect you with specialist brokers who have access to a diverse network of lenders and can handle the entire process on your behalf.

Our trusted mortgage partners have a proven track record of success in securing favorable mortgage terms for clients across various financial backgrounds. They will work diligently to ensure you receive attractive financing options tailored to your needs.

New build properties are highly sought after by first-time buyers, investors, and retirees alike. One of the significant advantages of new builds is the absence of an onward chain, reducing the risk of the transaction collapsing.

In the UK, you can apply for a mortgage as early as 6 months before the completion date. If the property you intend to purchase is still being constructed, it’s crucial to monitor the estimated completion date to ensure you have ample time to secure your financing before any notice is served.

A contract reassignment occurs when an individual purchases a property off-plan, typically an investor, with the intention to sell it before completion. To illustrate the process, let’s consider Buyer A and Buyer B:

1. Buyer A purchases an off-plan property and exchanges contracts, providing the developer a deposit
2. Prior to completion, Buyer A agrees to sell on their contract to Buyer B, often at a higher price
3. Through solicitiors, Buyer A assigns the contract to Buyer B
4. Buyer B then assumes the rights to complete on the contract with the developer

Financing contract reassignments can be more complex than traditional purchases. While there are financing options available, the number of lenders offering this specialised product is limited. Therefore, it is advisable to work with a mortgage broker experienced in this area.

The belief that self-employed individuals face challenges in obtaining a mortgage is a common misconception. While the available options may vary, there are numerous competitive solutions to explore. It is crucial to consult with a knowledgeable mortgage adviser.

Several lenders specialise in self-employed mortgages and offer a range of options that take various criteria into account. These can include:

• Lending against your company’s net profit, considering a potentially higher lending amount beyond just salary and dividends.
• Assessing your most recent year’s income instead of an average of the last two or three years.
• Considering your daily rate if you work as a contractor.
• Lenders will request specific documentation based on your self-employed status, which will depend on your circumstances.

Are you a sole trader, director, or contractor?

The nature of your self-employed role influences how lenders evaluate your suitability. Here’s a brief overview of the main considerations:

Sole trader: Most lenders require a minimum of two years’ full trading accounts and personal HMRC tax overviews. They usually calculate the average net profit before tax over two or three years. Some lenders may consider your application with only one full trading year, depending on your circumstances. For instance, if you transitioned from employment to self-employment in the same field. In addition to tax overviews, you’ll need to provide bank statements that demonstrate your trading income. If you use a separate business account, you should be prepared to present those account statements to the lender.

Director: Lenders may classify you as employed, but typically only if your share in the company is small. The threshold varies, but if your share is 20% or more, most lenders will consider you self-employed. The lender will generally require additional documentation to demonstrate the business’s solvency, and some may take your share of profits into account, along with your salary and any dividends.

Contractor: Although contractors are often company directors, many lenders recognize that their arrangements differ from those of corporate company directors. This is reflected in tailored affordability assessments. While some lenders assess contractors using the same criteria as any other company director, there are other options available if this limits borrowing capacity. The lender can conduct an affordability assessment as if you were employed, taking your gross contract daily rate as income. This will be subject to specific conditions, including contract history and continuity.

*Please note – Lenders are constantly changing their criteria for lending and the information we have given here is just an illustration.