{"id":21949,"date":"2018-11-09T12:21:58","date_gmt":"2018-11-09T12:21:58","guid":{"rendered":"https:\/\/www.buyassociation.co.uk\/?p=21949"},"modified":"2023-10-10T11:12:31","modified_gmt":"2023-10-10T10:12:31","slug":"mortgage-market-expands-for-the-self-employed","status":"publish","type":"post","link":"https:\/\/www.buyassociationgroup.com\/en-gb\/2018\/11\/09\/mortgage-market-expands-for-the-self-employed\/","title":{"rendered":"Mortgage market expands for the self-employed \u00a0"},"content":{"rendered":"

The self-employed reportedly account for 15.1% of the UK’s working population and yet historically have the hardest time getting a mortgage.<\/strong><\/p>\n

With the number of self-employed steadily rising since 2001, specifically the increasing number of 16-24-year-olds choosing self-employment<\/a>, lenders are starting to recognise that a large proportion of would-be borrowers don\u2019t fit the standard credit criteria.<\/p>\n

Mortgages for the young professional<\/h4>\n

Kensington Mortgages have focused their latest efforts on providing enhanced affordability for young professionals, stating that they recognise that applicants in these professions are often self-employed or contractors, which can result in them being unable to meet the criteria of high-street lenders.<\/p>\n

If you are a chartered accountant, actuary, barrister, commercial pilot, dentist, medical doctor or solicitor you can qualify for a Kensington mortgage with a minimum income of \u00a335,000 as a sole applicant or \u00a350,000 as a joint application. To be eligible for rates starting at 3.14% on a 2-year fixed rate at 75% loan to value (LTV), applicants must be registered with the appropriate UK professional body and be practising in their field.<\/p>\n

Two-year discounted deal for the self-employed<\/h4>\n

\u00a0<\/strong>TMA Club with Buckinghamshire Building Society has announced an exclusive two-year discounted deal for self-employed borrowers.\u00a0 Available for purchases and remortgages, the two-year discounted rate of 3.59% is available up to 70% LTV with a maximum loan of \u00a3500,000.<\/p>\n

The product may not be the cheapest deal around, but Buckinghamshire\u2019s flexible underwriting approach is the most critical factor for self-employed applicants. The discounted deal has also been designed for borrowers who fit the lender\u2019s non-standard credit criteria; it\u2019s not a pre-requisite for self-employed applicants but is certain to be a welcomed approach.<\/p>\n

Lenders need to reflect today\u2019s workforce<\/h4>\n

With over 4.8 million self-employed in 2017, it\u2019s surprising how slow mortgage lenders have been to recognise and address the issues faced by these borrowers when trying to secure a mortgage. Still many lenders rigidly consider self-employed income as that shown on an applicant\u2019s personal tax return, when in reality it is rarely that straightforward.<\/p>\n

As lenders vie for borrowers in a competitive market, they should be making strides to understand the self-employed and their frustrations with traditional lending and challenge themselves to improve their mortgage application experience.<\/p>\n","protected":false},"excerpt":{"rendered":"

The self-employed reportedly account for 15.1% of the UK’s working population and yet historically have the hardest time getting a mortgage. With the number of self-employed steadily rising since 2001, specifically the increasing number of 16-24-year-olds choosing self-employment, lenders are starting to recognise that a large proportion of would-be borrowers don\u2019t fit the standard credit… Read more »<\/a><\/p>\n","protected":false},"author":3380,"featured_media":21735,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[179,26,6],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/21949"}],"collection":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/users\/3380"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/comments?post=21949"}],"version-history":[{"count":1,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/21949\/revisions"}],"predecessor-version":[{"id":6097451,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/21949\/revisions\/6097451"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/media\/21735"}],"wp:attachment":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/media?parent=21949"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/categories?post=21949"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/tags?post=21949"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}