1st time buyer advice

Jonstan18

Hello,

I am looking to buy my 1st property, but I was looking for some advice on income declaration.

I have recently started a limited company in which i am the sole director and I am looking to put myself on a salary.
I also currently work part time for my sister earning 15k a year.

My question is really is it possible to just declare my 2 salaries to the lender, 1st being the salary I put myself on through my company and 2nd being the 15k from employment with my sister?? Then not declare that I am also a company director? Or is compulsory that I do declare that?? As I understand they would probably need 1/2 years company accounts which I obviously don’t have yet as it’s only just formed so may cause me some problems.

I also have a 20k deposit and good credit.

Any advice would be much appreciated
John

kingstreet

If you own more than 20% or 25% of the equity, you are classed as self-employed and accounts etc will be needed. The lender will check Companies House.

If you also work for a family member, you can be treated as an employee but expect the firm's Accountant to be asked to confirm your salary is sustainable.

Lenders aren't daft. They've seen it all and have systems in place to deal with such cases.

Jonstan18

Thankyou for the response,

Would a lender accept less than 1-2 years accounts, say 3-6 months for example? as the company has only just started trading.

Thanks

dimbo61

No they won't accept 6 months of accounts