Self Certified Mortgages

Sometimes we’re the only ones who can be relied upon to assess our true economic worth. Self certification mortgages are perfect for those of us who are self employed; those of who work seasonally or whose income is enhanced by irregular bonus payments or multiple income sources. None of these factors make us a bad risk; just an unknown quantity in the eyes of some lenders. Or at least that was the way it used to work; but not any more, thanks to self certified mortgages!

Self certified mortgages (or self certification mortgages) give us the same sort of opportunities as standard status mortgages, but without any of the hassle that used to be associated with ‘buying a bespoke mortgage.’ The important thing is that we’re not beholden to excessive interest charges or mortgage indemnities just for the privilege of signing up to a ‘specialist’ scheme. Thanks to the rise of flexible working patterns and self employment; even greater buying power, mortgage hunters don’t have to tick all the boxes any more. Today’s mortgage hunters all have different requirements, and today’s mortgages are all designed to meet those requirements.

Whether you’re searching for self certified mortgages online, or checking out high street lenders, it’s easier than ever to find a self certified scheme that’s right for you. There are all sorts of reasons for wanting to self certify your mortgage; but it doesn’t matter how or why you’re unable to prove your income; chances are, you’ll still be eligible. Assuming you’re willing to countenance taking on a slightly higher rate of interest on your loan, you can borrow whatever you need to buy the house you really want. And bear in mind that as the mortgage landscape continues to shift to reflect the change in self employment status among British workers, so too are the charges associated with taking out a self certified mortgage. Just ask your broker; they’ll work with you to find competitive rates, comparable to conventional high street deals.

Perhaps the best aspect of taking out a self certified mortgage is the level of autonomy it affords you. Simply consider your finances: take all sources of available income into consideration, extrapolate your long term finances and you can pretty much broker your own deal! Naturally your self certification company will work with you to ensure your targets are obtainable. They’ll assist you in any way you wish; but, uniquely, they work on the assumption that you know best. How refreshing!

What has always made it harder for self employed home buyers is that they haven’t just had to forego all the usual perks of the latest mortgage incentives, but they’ve had to compromise on everything else too. With lenders traditionally giving less than generous terms, home buyers have been offered mortgages based on their net earnings, not gross. Considering that most self employed workers offset taxable earnings against gross income in an effort to reduce their tax burden, they show a significantly reduced net income; the result: a significantly reduced borrowing capacity. It’s not like that any more.

Self certification will enable you to broker a deal that truly reflects your ability to pay. After all, if you’re self employed, chances are, you’ll have a much better idea of your financial responsibilities anyway. Of course proving your worth as a borrower doesn’t just have to be about taking the weight of responsibility for your financial powers - there are other ways to achieve the same ends. Some self certification specialists and underwriters will work with you to illustrate your repayment potential to lenders using existing mortgage payments or credit card payments as a basis for comparison. Rather than working out a notional value, based on your income, they can illustrate what you are able to afford in infinitely more detail than a conventional status mortgage could ever manage.

Self certified mortgages are all about giving you maximum control over your buying and borrowing potential. Don’t let anyone else dictate what you can afford to pay…