Mortgage options for future self employed

sarah3585

Hello,

I'm currently getting a mortgage. Both myself and my OH have full time jobs. We are currently looking at a 2 yr fixed deal. However, in the near future I'm considering going self employed, doing a mix of my own client work and contract positions.
It's dawned on me maybe a 3 yr deal will be better as ill have more accounts to show and hopefully more impressive figures when the term ends and it's time to apply for a new product.

Is it still really hard to get a mortgage if you are self employed? The 2 yr deal we are looking at is very good, but maybe a 3 yr deal will be more sensible due to my future plans.

Moonraker71

I'm self-employed and have just got a decision in principle with the Woolwich based on 2 years accounts although their criteria states 3 yrs. I have a large deposit (50%) which I'm assuming has counted in my favour, though I'm still worried it will all fall apart when I do the application in full. I would take the 3 yr deal if I was you. That way, when the 3 yr fix comes to an end you'll have just passed the end of a tax yr (April 2016) and can file your 3rd yr accounts early if they're insisting on 3 years.

ACG

If you took out a 2 year deal, you would just revert to the lenders SVR presuming they had no deals to offer you.

It might also be worth looking at a lender who has a low SVR - just incase things dont turn out as planned and your unable to get a new lender/deal by the time that deal has finished?

hamster2013

there are some interesting 5 year deals going on - i think i saw an ad for the post office one in the news paper, as well as hsbc -
if you are still 'considering' to go self employed - maybe the 5 years will give you time to get setup and improve your position and your '3 previous' years at the end of the fixed period will look good and healthy.