Self employed mortgage.

[Deleted User]

My son wants to purchase a property for around 65/70K - Has a 31k deposit which he has saved over the last 10 years. He is purchasing the property off his landlord so needs to purchase before the end of the year, otherwise the property will be sold to someone else.

Is it possible to get a self employed mortgage with 2 years accounts? The first year shows only £4.5k profit whereas the second shows £17 profit (15K after tax and NI) - the business is already at 20K profit for this year so it will be substantially more next year. With all the trouble with covid affecting mortgages, is it even worth him applying?

Thanks in advance

Grumpy_chap

£30k deposit for £70k property, so he is looking at 60%LTV, which is a good place to be.
Your son has a record of saving on top of paying rent, so that will go in his favour.
Most mortgage companies like to see three year's accounts, but with a good broker it is likely something could be found that makes this possible.

söpöpöllö

I'm self-employed and just applied with two years' accounts through a broker. They wanted to see two years' SA302s, tax year overviews, latest three months' bank statements plus bank statements from Jan, Feb and March. He should be fine.