TaxAssist Accountants has shared that more than 70 percent of self-employed individuals think it’s difficult to get a mortgage due to the extra proof required.
TaxAssist Accountants has revealed that many of the UK’s self-employed professionals are worried about getting their mortgage application accepted. A recent survey discovered a massive 71 percent of self-employed people believed that it would be harder for them to get the funds needed to buy their own house. Considering more than 15 percent of the UK’s workforce is now self-employed, this stress is affecting a large chunk of the population.
In the article, Dilpreet Bhagrath from Trussle, who conducted the survey, explained why so many self-employed individuals feel this way.
“Determining affordability tends to be considerably more convoluted for the self-employed. Most lenders require at least two years of certified accounts and SA302s, proof of your deposit or last mortgage statement, your latest three bank statements, proof of address and identification. Some self-employed workers, like contractors and freelancers, are assessed purely on their day rate, but others are judged on the average of their past two years of earnings, regardless of what they earn at the time they apply for a mortgage.”
Bhagrath explained how self-employed mortgage applicants can give themselves the best chance of being accepted.
“To avoid any issues that could delay or prevent you from getting your loan approved, make sure your details and accounts are kept up to date and in order. Having separate business and personal bank accounts will also help to keep track of any spending, expenses and income, and to align your accounts properly during the application process.”
TaxAssist Accountants can help self-employed individuals get their accounts together before starting the mortgage application process, making it more likely that they’ll be accepted. The bookkeeping and accounting franchise also offers advice and assistance on a whole range of other services, including MTD (Making Tax Digital) and end of year tax returns.
It’s on the lookout for franchisees to join its network across the UK, so if you think you could be the next TaxAssist Accountants franchisee, it’s keen to talk to you.
Sophie Cole, Point Franchise ©