Self Certification Explained

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There are dozens of mortgage lenders offering thousands of mortgage products. Even so, if you are one of the UK's 3.3 million self employed, you may still have a problem finding a suitable mortgage on the high street. Mainstream banks and building societies are often the first port of call for many of us when we are looking for a mortgage. However traditional underwriting criteria are often influenced by their preference for clients who can prove their employed income via payslips, or if self employed by means of 3 years accounts.

There are a sizeable number of workers either self employed or currently working on a short term contract. Whilst they are financially sound it is often difficult for these borrowers to prove a level of income to satisfy a mortgage lender. A handful of mortgage lenders have recognised this and look to welcome customers in these situations. These are the specialist lenders who understand the needs of the self employed borrower and continually look to improve the terms and features of their mortgage products to meet the needs of this growing market.

For example, whilst many mainstream lenders will ask for up to three years audited accounts from a Chartered or certified accountant before considering a mortgage for the self employed, the specialist lender will be far more accommodating. Specialist lenders look to provide innovative solutions to individuals, appreciating that different working pattern require a more flexible approach.

It is with this in mind that some lenders offer flexible mortgages to take into account fluctuations in income from self employment allowing the borrower to 'Self Declare' their earnings without the need for audited accounts. However it is not only the self employed who can benefit from this type of mortgage. Employed customers who have variable monthly income may not meet traditional lending criteria and can take advantage of a 'Self Cert' mortgage.

Our qualified advisers will be happy to talk through your requirements with you... Call us now on 0800 0435760 or fill out this online form