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  • FIRST POST
    • Jonstan18
    • By Jonstan18 8th Feb 18, 10:48 AM
    • 2Posts
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    Jonstan18
    1st time buyer advice
    • #1
    • 8th Feb 18, 10:48 AM
    1st time buyer advice 8th Feb 18 at 10:48 AM
    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 donít have yet as itís 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
Page 1
    • kingstreet
    • By kingstreet 8th Feb 18, 12:15 PM
    • 33,342 Posts
    • 18,034 Thanks
    kingstreet
    • #2
    • 8th Feb 18, 12:15 PM
    • #2
    • 8th Feb 18, 12:15 PM
    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.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • Jonstan18
    • By Jonstan18 8th Feb 18, 2:28 PM
    • 2 Posts
    • 0 Thanks
    Jonstan18
    • #3
    • 8th Feb 18, 2:28 PM
    • #3
    • 8th Feb 18, 2:28 PM
    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
    • By dimbo61 8th Feb 18, 8:13 PM
    • 9,878 Posts
    • 5,312 Thanks
    dimbo61
    • #4
    • 8th Feb 18, 8:13 PM
    • #4
    • 8th Feb 18, 8:13 PM
    No they won't accept 6 months of accounts
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