Lenders experienced in extending mortgages to company directors recognise that a director’s base salary alone doesn’t provide the full financial picture of the company’s profitability. It’s essential for business owners to seek out specialised lenders who take the following factors into account when evaluating a mortgage application:

1. Operating profit (before or after taxes)
2. Director’s salary
3. Latest year’s financial figures
4. One year of trading history
5. Income of other applicants employed by the company
6. A reference from a qualified accountant

Our dedicated advisors will carefully assess your unique circumstances, helping you secure the maximum borrowing amount at the most favorable interest rate. If necessary, we can also communicate directly with your accountant to ensure the proper documentation is obtained.

Absolutely! There are indeed lenders, including some well-known high street institutions, that provide mortgages to limited company directors. To receive guidance without leaving your home, complete our quick form at the top of this page and we’ll connect you with the advice you need.

Certainly, being a limited company director alone will not hinder your eligibility for a mortgage, as long as you can provide at least one year of limited company accounts or personal tax returns. Lenders will evaluate both your personal and your company’s income during the assessment process.

It wouldn’t be accurate to claim that securing a mortgage as a company director is as straightforward as it is for individuals in standard employed positions. Lenders approach your application differently and often request additional information about your situation. Many individuals discover that engaging a specialized mortgage broker greatly simplifies the process, eliminating the guesswork of applying to lenders who may not be accommodating regarding your income or may lack suitable policies for your specific circumstances.

While certain lenders limit self-employed lending to 4.5 times your annual income, there are options that can extend it to 5.5 times, especially if you have a substantial income. The amount you can borrow depends on various factors, including your company’s pre- or post-tax profits, your dividends, and your director’s PAYE salary, also known as directors’ remuneration. Depending on your specific circumstances, these figures can be derived from a single year’s documentation, an average of two years, or your most recent year’s financial information.

No, your employment status is not an element that is recorded on your credit report. However, it can potentially be a consideration for lenders when they evaluate your overall financial situation.

As a company director, there are two types of documentation you can utilise to establish your income:

1. Your limited company accounts, which will display your operating profit before and after taxes.
2. Your director’s remuneration and personal tax calculations, which will outline your income from employment and dividends.

Typically, these documents should not be more than 18 months old, and you will need to provide one or two years’ worth of either of these documents. Additionally, lenders may also consider verifying your income by examining your most recent three months of business bank statements.