As a Company Director, you may struggle to obtain a mortgage loan, this is because you are viewed as Self Employed. It is harder to qualify for a mortgage loan in general now, but even harder for those with bad credit and who are self employed, like a company director. You may wonder why this is the case? Well, due to lenders policy on income requirements it can vary widely across the market and can result in a complex application process for those who are self employed. This is due to the income often being inconsistent for those who are self employed, for example, each month can vary on what you earn, depending on how much work you have scheduled for that month.
This means that Lenders are hesitant to provide those who are self employed a mortgage loan. They want to know that the borrower is reliable to be able to afford the repayments.
Banks often turn away those who are self employed, this has resulted in an increase of people who are self employed to go to a brokerage instead. Mortgage brokers often have a range of experience in self employed mortgage loans as many turn to them. This means that they have often built up a range of lenders who are known to accept applications from those who are self employed.
When you are a company director the mortgage requirements can vary depending on the lender. With the right broker, if they have the experience they will have the knowledge and expertise to help company directors get the mortgage loan which is right for them.
Depending on your situation is, mortgage brokers will assess the situation and allocate you to the best adviser for your situation.
Below is an in-depth guide for director mortgages. If on reading through you feel like you may be eligible or you want to ask an expert a quick question, please don’t hesitate to get in touch!