Kent Reliance improves mortgage criteria for employed staff switching to self-employed

by Aaron Strutt

Mar 04 2016

Kent Reliance for Intermediaries has improved its mortgage criteria to make it easier for clients if they have switched from an employed position to a self-employed role.

The building society will consider residential mortgage applications from professional, self-employed applicants who have been trading a minimum of 12 months. 

Applicants must have a minimum 12 months previous track record in the same sector as their current business and this will need to be evidenced by proof of previous pay-as-you-earn income.

Examples of professional applicants are; doctors, lawyers, accountants or those who hold other professional qualifications.

The lender is likely to request three months personal and business bank statements - self-assessment returns and SA302's will not be accepted as proof of income.

Aaron Strutt, product manager at Trinity Financial, says: “We have helped lots of clients who have left their employed roles to carry on working at the same firm on a self-employed basis. There is a selection of banks and building societies willing to lend to them.

“Kent Reliance will base income on the finalised accounts prepared by the accountant acting for the business and they will potentially require a projection for the second year of trading. Trinity has access to a few lenders willing to accept one years accounts and applicants do not need to hold a professional qualification to qualify.”

According to figures from the Bank of England there has been 700,000 new self-employed professionals since 2008, taking the total to 4.5 million.

For help to secure a self-employed mortgage call Trinity on 020 7016 0790.