Could I get a Mortgage?

Legacy_user

Hi,

I did post this in another thread which maybe wasn't as relevant as this thread to my question/concerns.....

My situation:

1. I have a fairly decent chunk of savings (£50k) which would be used as a deposit.

2. I am considering purchasing a New Build to take advantage of the 20% government loan towards a deposit. This would obviously take my deposit to an even higher amount. My deposit + the 20% from the Help To Buy scheme.

3. I have a strong guarantor at the ready.

4. I would be looking to buy all by my lone self.

but to the main 2 points in relation to my question........

5. I have a 'temp' job which I have had for 2 years and it has been constant work. I am flexible in the hours I can do, but have always worked a pretty consistent amount of hours earning approx £800 per month.

6. I am also self-employed and this is where I make the most of my monthly income (£2000)..........



My concerns are: I have only been self-employed for 1 year.....would this be an issue to a Mortgage lender? From research they seem to ask for 2 years, maybe 3. But I'm just wondering that as I also have a 2nd job in which consistent income is also coming in - then maybe the lender would be more accepting of just 1 year proof of accounts?

Anyone think a lender may be accepting of this?

if so......then how much detail do they need when they check your business accounts? Do they want to see everything?....all your receipts, all your statements month by month, etc etc.....or are they just after a copy of how much you declared to have earned to the Taxman / how much you paid in tax to prove what income you made from that year?

Thanks for your help.

kingstreet

No guarantors allowed on HTB Equity Loan cases.

Some lenders accept temp/agency/fixed term working, subject to duration etc.

You are unlikely to get SE earnings taken into account on HTB EL until you can provide two years' SA302s from HMRC, with the lender taking an average of your net profits over that period, or the latest year's alone if that is lower than the year before.

Start working with an experienced independent broker who can guide you through lender and HCA affordability as there are two calculators to satisfy for HTB EL cases.

amnblog

The Lender is interested in your tax return to prove your income - the paperwork you need is called an SA302, available from HMRC.

Not all Lenders handle equity loan scheme lending and your income situation is manageable but tricky.

You should engage a mortgage broker to assist you.

System

Cheers Guys.....

I will speak to my bank and get an idea of what they would except....

I am in no rush, but if there is some promising feedback from them then maybe I'd get a property asap...

but if not - I expect that this time next year I will have 2 years accounts, the accounts will show an increase in earnings + I will have saved an even larger deposit....

So the near future should put me in solid financial standing.