What does Self-Certification mean?

Being self-employed sometimes makes it harder for you to be eligible to receive a mortgage, exactly because the uncertainty of your income and its fluctuating values mostly. As a self-employed, is not always easy to prove your income, however, many lenders approve easier for a self employed if he makes a high upfront deposit when buying a property.

Bear in min that almost 15% of the workforce in the UK is on a self-employed status, which makes lenders having a special eye on you when it comes to borrowing. Much higher rates and a much higher upfront deposit requirement are only two of the aspects you have to fulfill if you are a company director or a freelancer for example.

You are an exception, and may not qualify for a self certified mortgage type if:

• You are figuring as a self-employed for less than three years


• If during one of the three years your business showed substantial loss/regress


• What is stated as your yearly income is much below the standard income which would make you eligible for a mortgage

You have to pay attention to all the terms and conditions of a self certified mortgage, and most important of all make sure your income can cover all the requirements.