Buy-to-let (BTL) mortgages are available if you are a self-employed business owner. Just because you already run a business does not mean you cannot become a landlord as well. If you are looking to purchase a property and intend to rent it out, rather than live there, you need a specific BTL mortgage.
Buy-to-let (BTL) mortgages are available if you are a self-employed business owner. Just because you already run a business does not mean you cannot become a landlord as well. If you are looking to purchase a property and intend to rent it out, rather than live there, you need a specific BTL mortgage.
Self-employed landlords have the same access to buy-to-let mortgages as employed applicants: you just have a few more hurdles to jump over to get the best deals. Over recent years, we have seen banks easing the criteria for self-employed mortgage applicants, and particularly for buy-to-let mortgages, so your luck is in!
There is not much difference in the process of applying for a BTL mortgage when you are employed as opposed to a BTL mortgage when you are self-employed. The key is preparation and coming at the application in a structured and methodical way.
Self-employed mortgage applicants are subject to similar eligibility criteria as an employed applicant for a buy-to-let mortgage. Age of the applicant, credit history, landlord experience and other factors will all still be applicable.
Lenders of buy-to-let mortgages will typically ask for a larger deposit than a residential mortgage, this varies between lenders, but you should expect to have around 20-25% deposit ready. As a self-employed applicant, you should aim to have at least 3 years’ worth of accounts for your application, but if you are struggling, do not panic: speak to our team as there may be a lender who needs fewer.
The BTL mortgage criteria that a self-employed applicant will need to meet varies from bank to bank; reduce the stress, limit your workload, and let us do the mortgage legwork for you. You can concentrate on finding a property and running your business.
Active Mortgages has a team of buy-to-let mortgage advisers that are experts at working with self-employed clients, securing deals, and making their property dreams a reality. Whether it is your first or your tenth property, Active Mortgages’ buy-to-let mortgage team will guide you through the process from application to completion.
Our buy-to-let expert mortgage advisers work with the UK’s self-employed business owners to find them top mortgage deals, and it is easy to book a consultation with a specialist. We will work with you to find out what you can afford, what type of rental property you are looking to buy and more about your circumstances, so we are primed to find a mortgage deal that a hard-working, self-employed entrepreneur deserves.
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Yes, self-employed individuals can apply for a buy-to-let mortgage. The process is similar to that of employed applicants, although there may be additional requirements.
While the fundamental process is similar, self-employed applicants may face additional scrutiny. However, recent trends show that banks have been easing criteria for self-employed applicants, making it more accessible.
Generally, lenders require a deposit of around 20-25% of the property’s value for a buy-to-let mortgage.
It is ideal to provide at least 3 years’ worth of accounts. However, some lenders may accept fewer years, so it’s advisable to discuss your situation with a mortgage adviser.
Preparation and a structured approach are key. Active Mortgages’ advisers can help streamline the process by finding suitable mortgage deals and assisting with the application.
Book a call with one of our team to talk about your requirements.
