Creative Mortgages, Field Notes
Self-employed or salaried, your mortgage advice should still fit your career.
Set by: Richard, Creative Mortgages · Due: Before your next remortgage or purchase
Every September, somewhere in the back of your head, the dreaded thought, (for me anyway,) of going back-to-school after a blissful six weeks off. A new term, a new resolve, head down until Christmas. These days September and kids going back to school could mean something else entirely; getting on with that move soyou're in before Christmas, or getting a leg up on the property ladder. Both require homework and being prepared for what lies ahead.
Why September, specifically?
Lenders don't care what season it is. But a lot of people do. September is when most people have a reset, digging out your last three months wage slips and bank statements if you’re employed, getting your numbers together if you’re self-employed. A just-finished tax year, a new pay cycle underway, a summer of invoices or payslips already banked. It's the closest thing the calendar has to a clean new term, whoever signs your income off.
Homework, set A: if you're self-employed
Here's the reading list most specialist lenders expect from freelancers, contractors and business owners:
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Two to three years of accounts or SA302s / tax year overviews, not just one
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A note of any late-filed returns or gaps you'll need to explain
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Proof of upcoming or contracted work, if your income is project-based
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A clear view of your net profit trend, rising, flat, or dipped, and why
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Three to six months of business and personal bank statements
Homework, set B: if you're PAYE
Payslip life is simpler on paper, but there's still a reading list and skipping it costs time and makes for a more stressful application:
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Your three most recent payslips
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P60 for the last tax year, and last year's before that if you're close to a lending limit
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A clear note of any bonus, overtime or commission, and whether lenders will actually count it
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Details of your probation period, if you've recently changed jobs
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Three to six months of personal bank statements
Call it a homework checklist to avoid a slower more stressful application. And lenders won’t hesitate to mark you down if they don’t see the full picture.
Autumn Term Ready
Paperwork organisation ✓
Income evidence clarity ✓
Evidence of deposit ✓
Understand own numbers ✓
The specialist marking scheme
The difference with a broker who understands creative income, on either homework sheet, is that the marking it changes to fit the subject. If you're self-employed, irregular invoicing isn't a red flag, it's just how the work, works. A first year of low profit while reinvesting in the business is a start-up curve, not "unreliable income," you just need to prove your business is moving in the right direction.
If you're PAYE, that comes with its own quirks too: overtime-heavy months for certain industries, short probation periods, or a salary that jumped after a recent promotion. Either way, the right adviser marks you against a syllabus built for how creative careers actually pay, not a one-size fits all template.
Extra credit
If you want to go further than the minimum homework, a few things can really help most before any application: tidying up any personal credit blips, staying out of your overdraft and not taking on any debt. Get an agreement in principle early, so you know your grade before you've fallen for a property you can't yet afford.