Search
Close this search box.
Search
Close this search box.

Mortgages For Company Directors

Securing a self-employed director mortgage can be tricky, especially if you are only paying yourself a minimal salary. However, it’s not impossible, and this is one of the areas that Active Mortgages specialise in.

The Self-Employed Mortgage Guide

Download your FREE copy today.

Getting a mortgage as a company director

Securing a self-employed director mortgage can be tricky, especially if you are only paying yourself a minimal salary. However, it’s not impossible, and this is one of the areas that Active Mortgages specialise in.

Income and dividend payments

Active Mortgages - The UK's Leading Mortgage & Finance Specialists

It is commonplace for directors to pay themselves a salary that is below the next tax threshold, retain more profit in their businesses and pay themselves a large dividend. Tax on dividends is lower than on income, so it makes sense for directors to do so, to maximise their income levels.

However, many high street banks will only consider the applicant’s personal salary income, which can be significantly lower than their real take-home amount. This, therefore, limits the amount the bank is willing to lend you, despite being the director of a (hopefully) profitable business.

Proving your income for a mortgage

Whether you are employed or self-employed, mortgage lenders need you to prove your income. This is relatively straightforward as an employed worker as you have a contracted salary amount, proved by your regular monthly payslips. If your payslips do not reflect your whole income as a director of a business, i.e. your dividend payments are not shown, then a high street bank may consider you to be a higher risk borrower. This could lead to non-acceptance or a less ideal interest rate.

Specialist lenders in self-employed director mortgages

Don’t fret, your dream property is still a possibility. It is just advisable for you to find a lender who specialises in mortgages for self-employed directors looking to make their property purchase. These specialist lenders will consider your circumstances and your dividend payments as well as all other criteria that self-employed directors need to meet.

Active Mortgages - The UK's Leading Mortgage & Finance Specialists

Expert director mortgage advisers

Active Mortgages has a team of mortgage advisers that are experts at working with self-employed directors, securing deals, and making their property dreams a reality. Whether it is your first or your tenth property, Active Mortgages’ self-employed mortgage team will guide you through the process from application to completion.

Our expert mortgage advisers work with the UK’s self-employed business directors 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 property you are looking to buy and more about your circumstances, so we are primed to find a specialised mortgage deal that you, as a self-employed director, deserve.

7 ways

to invest in your future with a mortgage tailored to your goals

Trust our team to find the perfect mortgage for your budget and lifestyle.

Active Mortgages - The UK's Leading Mortgage & Finance Specialists

Trust our team to find the perfect mortgage for your budget and lifestyle.

Active Mortgages - The UK's Leading Mortgage & Finance Specialists
Active Mortgages - The UK's Leading Mortgage & Finance Specialists

Make your dream property a reality

Make your dream home a reality

What our customers say

Active Mortgages - The UK's Leading Mortgage & Finance Specialists

Book a call with one of our team to talk about your requirements.