First-Time Buyer Self-Employed for One Year - Income Assessment Challenge
£225,000 · 30 years · 5.25% fixed 5 yrs. A 31-year-old who had gone self-employed as a consultant eleven months before application had previously earned a strong PAYE salary.
The Client
31-year-old who
The Challenge
A 31-year-old who had gone self-employed as a consultant eleven months before application had previously earned a strong PAYE salary. Most lenders require two years of self-employed accounts. However, his net profit in his first year was well evidenced and substantially above his former PAYE salary.
Our Solution
Doulton identified lenders willing to consider one year of self-employed accounts where income was clearly evidenced and substantially above the prior PAYE salary. The client's prior employment history with a major firm, the nature of his consulting work, and the strong first-year net profit all supported the application.
The Outcome
Mortgage placed on the basis of one year's accounts. First home purchased. The client's second year of accounts confirmed income growth, and he subsequently remortgaged onto a better product two years later. Key highlights: One year of self-employed accounts accepted - specialist lender; Prior PAYE history and strong first-year profit supported application; Remortgaged onto better product 2 years later as income established.