How much salary do lenders expect, for 1 year self employed property at value of £400,000

become_an_actuary

I am a first time buyer

Most banks and non-bank lenders requires 2 years of evidence.

If there's a lender asking only 1 year of evidence, then they will charge more price

Suppose a property is valued £400,000

What would be a suitable range of annual salary for the mortgage application

For example, consider mortgage lender approving application if the property is 5 times the salary, do I need annual salary of 400,000 / 5 = 80,000

become_an_actuary

How much monthly salary lenders want for a self-employed borrower 

DullGreyGuy

You haven't said what size your deposit is against the £400k property

The higher the LTV the bigger the risk for the lender that if they have to repossess that it won't cover the outstanding debt in a distress sale and so lending decisions get more scrutiny than if say you had a £300,000 deposit towards it so only a 25% LTV

Self employed dont have a salary... if you do then you probably aren't self employed. 

comeandgo

If you are self employed you won’t have a salary, it’s business profits you would need.

MSE_ForumTeam5

We've moved this to a more suitable board

kingstreet

Assuming;-

no dependents
a 35 year term
a 10% deposit
no credit commitments, maintenance, ground rent/service charges etc

a mortgage of £359,200 could be achieved with self-employed net profit, or limited company salary and dividends of £80,000.