Is buying a house or flat possible for self employed?

I'm in a bit of a dilemma in life and I'll try and keep this as short as possible. Due to an ongoing injury much of my employment over the last few years has been part time (PAYE) . I'm also self employed but profits have been minimal for the last 3 years. I've been working towards learning a new craft and feel confident that I can earn a good income from selling the work that I produce. I've done test runs that have sold well so I know there is a good business there but this was prior to the virus although most of my sales are online anyway. 

The problem I have is I'm currently living with 2 elderly parents and am limited for the space I have to work from. I could rent a studio but this doesnt solve my living situation as it means I'm still living under my parents roof and they are really worried about the virus and contracting it from me if say I'm out of the house working each day so at the moment I'm not able to really work properly nor earn any kind of reasonable income. 

What I really need is my own place and somewhere I can also work from either within or close by. It could be a small house with a shed in garden or area to work from or a flat just as long as I have a small area to use for my crafts. As my business grows then I can look to rent a larger unit. 

The issue I have is how does one obtain a mortgage when there is currently no guaranteed regular income to show but I do have a potential business that I know will generate good income. I have approx £20,000 that I have as a deposit and also could guarantee a lodger to move in to cover at least £500 a month towards a mortgage. My monthly forecasted earnings based on the test runs sold could be anywhere from £1000-2000 and this is just online sales. 

 I just wonder what is required to obtain a mortgage for someone in a self employed position such as mine. Is there any way out?


  • CatsacorCatsacor Forumite
    1.9K Posts
    Eighth Anniversary 1,000 Posts Name Dropper Photogenic
    If it were me, i would see a mortgage broker, he will have the knowledge to look at specific areas to your requirements.
    I'm self employed, have been a long time, and have never had a problem obtaining mortgages.
    First, take responsibility .....
  • Grumpy_chapGrumpy_chap Forumite
    12K Posts
    Ninth Anniversary 10,000 Posts Name Dropper Combo Breaker
    You need to speak with a mortgage broker.  They often rely on your past trading income, as per your SA302s, to determine borrowing eligibility.  The mortgage broker will be able to advice how they can assess a business plan rather than business record.
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