Mortgage advice - self employed and own home outright.

Joecattermole

Hello!

I am looking for advice on the best way for us to borrow about 150k to buy a property.

Me and my wife own a cafe which is our only source of income - the past 3 years accounts showing profits of approx 20k - 2014, 30k - 2015, and 40k - 2016 (2017 looking to be about 45k)

We have 50k savings and are looking to buy a new property for about 200k from which we will run a business from the ground floor and rent out the accommodation above.

We own our house outright with a current value of about 200k.

What are the possible options for borrowing (should we try and get a mortgage based on our earnings? Should we borrow against the value of our house?) and what (roughly) are the typical interest rates we can expect to pay on the loan? ..also what kind of timescales are associated with each type?

Any help would be greatly appreciated because we have pretty much zero knowledge on the subject!

Cheers,

Joe.