Best Mortgage for FTB and company MD

first-time-buyer_6

Hello all,

I am in what seems to be unique position, I'm in my early twenties, FTB and company MD [sole shareholder] of a 18 month old LTD company making a profit.

I am trying to find out what kind of mortgages are out there and what deposit i need.
So far i have been told 25% deposit etc. I am looking at around 100-150k properties.

Any help would be much appreciated.

Cheers guys and gals

property.advert

Go see a broker as well as your bank. Look at the people who advertise contractor mortgages. I had a company and because of the way you account for everything to mitigate taxes etc. you do not always either pay yourself a salary at all or certainly not all profits as salary. It makes it more complex.

Decent deposit helps though so 25% is good.

The best people may be the people who your company banks with as they can see the real cashflow. You don't have 2 years' accounts so that is another problem but might not be to your bankers.

first-time-buyer_6

Thanks for the reply.

I have seen a broker[indie], and he suggested 25% deposit as the best way forward, just wanted to hear what others had to say on the matter.

The company bank accounts are with HSBC, I'm not their biggest fan TBH.

Ta.

Radsteral

I was in same problem- and 3 years accounts and with hsbc- they dismised me in 5 minutes, mainly for the reason Property Advert states.
I sugest you could try them but instead of shattering your credit score with them, tell them to see if you can get a mortgage, without doing a credit check. bring as many papers with you and insist they look at them properly instead of just spending 1 minute and telling you '' yes , we can give you a mortgage''
Reason for that is as they barely check , in order to give you a mortgage in principle but when you do full aplication they scrutinise everything.

if you are in london/kent area , send me a meage and i ll pass you my mortgage advisers details.
''Computer says no'' joke is such a big problem for people like me and you, as lots of things are too computerised, so it pays to have a good adviser that will know what to do.
i too not a big fan of hsbc, 5 years since i come to the country, only banked with them , took them 5 minutes to dismiss me, and it took me 1 hour to dismis them too- all current account, busines account, credit card, transfered to another bank
good luck mate and yes, 25 percent seem to make a big difference , if you have it

Conrad

Some lenders can consider a projection of earnings. Others take into account dividends and drawings.

Without an awful lot of info it's impossible to give you any menaingful insights.

Note with a 25% deposit you still need to declare your net profit / drawings on the application for 2+ years and ALL lenders make random spot checks on income even after legal completion.

first-time-buyer_6

Thanks for both of your replies.

It is a pain, i know.

I am happy to give any more info needed.

First year around £150k TO with £30k gross.

I also take a minimum wage salary.

next year forcast at £250k TO with around £30-40k gross [due to extra staff etc.]

I am in a recurring contracted type service industry, with many small contracts secured for 3-5 years.

Thanks again.