Mortgages for sole traders and partnerships

Finding a mortgage can become frustrating if you’re a self-employed worker. Even more so when you’re a sole trader or a member of a partnership. Knowing where to turn for advice is therefore key to you getting a competitive deal.

Selecting the right mortgage broker can make the difference between your application being rejected or approved. In short, you need a specialist broker with the knowledge, experience and contacts to make the most of your situation.

Mortgage Quest has earned its solid reputation in part through helping people like you: sole traders looking to secure a self-employed mortgage against the odds. We’re so successful because we only approach lenders we know will look beyond an accountant’s assessment. This common-sense approach to underwriting is key to you getting the mortgage you can truly afford!

How long do I need to be a sole trader before getting a mortgage?

Most lenders demand a minimum of 2-3 years’ worth of trading history, especially staff at branch level. But a handful of lenders will consider 12 months’ trading history if other factors imply lower-risk borrowing.

What proof of income do I need as a sole trader or partnership?

PAYE employees only need to provide copies of their payslips when applying for a mortgage. Unfortunately, sole traders and those in partnerships don’t have it that easy. Most lenders ask to see your financial accounts and/or your SA302 year-end tax calculation from HMRC.

What is an SA302 and how do I get one?

An SA302 is a concise summary of any income you’ve declared to HMRC. HMRC will issue a certificate reflecting this ‘Self Assessment’, which you can use to ‘evidence’ your income.

Once you have this certificate, it enables a lender to verify your income on your mortgage application. You can begin submitting your details here on the Gov.UK website.

Sole trader and partnership mortgage income calculation

Most lenders use an average of the past 2-3 years’ net profit to calculate sole trader and partnership earnings. But don’t worry unduly if you don’t have such an extensive trading history. Some specialist lenders will use your latest trading figures to work out your verified income figure.

Mortgage Quest help with mortgages for sole traders and partnerships

Mortgage Quest has been specialising in arranging mortgages for sole traders and partnerships since 2004. We have built a strong reputation through our various brands, including www.selfemployedmortgages.com. 

We inherently know this market, how the different lenders operate and what exceptions they’re prepared to make. No one is in a better position to help you secure the best mortgage deal for your status. To find out how we can help with your sole trader mortgage application, call us on 0208 421 7998 or enquire now.