How to Remortgage as a Self-Employed Person

Lenders Today Are Better at Assessing Self-Employment Mortgage Applications

Many people with a mortgage on their home in Leeds consider remortgaging their property in order to avoid going onto their current lender’s standard variable rate which could be extremely expensive.
However, if you’re self-employed, is it possible to remortgage?

Fortunately, lenders today are becoming better when it comes to assessing self-employment, and as more people are opting for this way of working, there are now more services and products to cater for this market. That means you’ve got a better chance today than in the past of being able to remortgage even if you work for yourself.

Remortgaging is Possible for Self-Employed People

First, the good news. Remortgaging away from your current lender to a new lender is possible for self-employed people. There are, however, a few exceptions to the rule.
When you’re self-employed, you have to supply evidence to prove your self-employment to your lender along with your company accounts or tax calculations and tax year overviews in order to be approved for remortgaging.

In some cases, lenders request extra information too, particularly if the past trading year has seen a significant capital expense, or if discerning your income baseline is difficult. You may, in those cases, need to supply a letter from your accountant alongside the other information outlined above.

What Happens If I`m New To Self-Employment

If you only became self-employed in the past 12 months, you’ll will need to wait until you’ve be trading for at least one year and until you’ve filed a tax return as you will need to evidence income you received from your business.

However, although you can’t make your application until that point, you can still prepare for your remortgage by getting everything prepared so you’re ready to hit the ground running once your filing is made.

Tips For Self-Employed People Looking To Remortgage

If you’re self-employed and want to remortgage, here are some top tips from the team here at Step by Step Mortgages to help make the process easier and smoother:

• Stay on top of your credit record. Make your credit score as high as possible before you make your application.
• Prepare your paperwork in advance. Your prospective lender will require lots of documentation to support your application. Putting together all of the information before you apply will save you time and stress.
• Show evidence of your future income. If it’s possible your income is going to change imminently, include information like contracts to show this. Your prospective lender will almost always ask for evidence.

Getting Professional Advice About Remortgaging

Here at Step by Step Mortgages, we have a skilled team of professionals who are experts at giving advice about remortgaging properties in the UK. If you’re self-employed and want to remortgage your home, don’t hesitate to get in touch with us on or by sending us an email to mags@stepbystepmortgages.com. We can give you all the information you need and help you prepare the paperwork you need so that your application runs smoothly.

YOUR HOME MAY BE REPOSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE – YOU MAY HAVE TO PAY AN EARLY REPAYMENT CHARGE TO YOUR EXISTING MORTGAGE!