Mortgages if business owner?

[Emilygilmore0]

DH has his own company that he started almost two years ago. He pays himself a salary, and me (I work for him part time and work elsewhere part time) and other staff.

He says that he is self-employed and therefore mortgages are harder and we have to wait until two years of business income and do the self employment mortgage route.

He’s probably right, but I can’t help but think: since he pays himself a salary, is he still classed as “self-employed”?

I mean, I know he is. But he is also paid by his own company. Averaging out his last two years salary (if he were classed as self employed) is less than he pays himself now, if you see what I mean.

Yes, he is SE
Speak to a Broker and provide last 2 years Tax returns for the business and himself, or whatever you have

Yep se

Mortgages when you are self employed are a mine field. We waited 5 years after setting up our business to get a decent rate (having previously always had good credit, the business having no debt etc). Was grim but we managed. Now more than a decade later, we have no issues. It takes time.

Some providers say 3 years books min

Get a specialist mortgage broker, they work wonders.

Thanks all! I sort of knew he was right, but since his company pays me, I wondered if there was a clever loophole.

We have almost two years of books (well, we’re in April now so pretty much two years). This year has been better than last, next year projected to be even better again.

We’ve just got our mortgage in principle through a broker, same situation ltd company dh pays us both a salary. The broker will take dividends etc into account. Broker was happy with two years of earnings

That’s good to know! Did you have good deals to choose from? Or was it a limited pool?