Mortgage and Insurance

Yes. Lenders assess self-employed applicants differently rather than treating them as higher risk by default. Most want to see two to three years of accounts or tax returns, consistent or rising income, and clean filings. The main obstacle is usually documentation rather than eligibility — applicants who have minimised declared profit for tax purposes often find that reduces what they can borrow.

Most lenders ask for two to three years, though some will consider one year with a strong application and a specialist lender. They typically average your income across the period, or use the most recent year if it’s lower. Keeping your filings current matters: a lender asking for last year’s figures in November won’t wait until January while your return is prepared.

An SA302 is HMRC’s summary of the income you declared on a Self Assessment return, and lenders use it to verify self-employed earnings. It’s usually requested alongside a tax year overview covering the same period. You can download both from your HMRC online account, or we can provide them if we file your return. Most lenders want the last two or three years.

It can, significantly. Many lenders assess company directors on salary plus dividends drawn, so a tax-efficient extraction strategy that leaves profit in the company may understate what you can actually afford. Some lenders will instead use salary plus your share of retained profit, which often produces a better result. If a mortgage application is coming, tell us before you set your remuneration for the year.

Employers’ liability insurance is a legal requirement if you have staff. Beyond that, common cover includes public liability, professional indemnity for advisory work, business contents, and key person or shareholder protection where the business depends on specific individuals. Insurance advice is a regulated activity, so we work alongside qualified regulated advisers rather than recommending specific policies ourselves.