Criteria Hub

We can consider income from a second job as an acceptable source of income for affordability purposes. We’ll assess whether both roles are likely to be maintained over the mortgage term.

We can consider applications where self-employed profits have reduced year on year. We’ll use the most recent, or lowest, year’s income for affordability purposes.

We can consider applicants with only one year’s accounts on a case-by-case basis, subject to underwriter discretion.

We can consider applicants with only one year’s accounts on a case-by-case basis, subject to underwriter assessment. Please contact your BDM or our Lending Support team for further details.

We can consider applicants with only one year’s accounts on a case-by-case basis, subject to underwriter assessment. Please contact your BDM or our Lending Support team for further details.

We can consider applicants who have been self employed for 12 months, subject to first-year SA302s or equivalent evidence. We can also consider applicants with less than 12 months’ self-employment where they have moved from employed to self employed work within the same profession and can provide year-to-date income evidence.

We can accept projected self-employed income figures for the latest year where provided by an accountant and supported by the last three months’ bank statements. This is subject to plausibility checks and a full underwriting assessment.

We can consider applications where there has been a recent change in self employed status. These cases are assessed on a referral basis. We can’t consider applications involving a change of business direction or a new company start-up.

We don’t add back accounting deductions when assessing income.

We don’t currently offer self-build mortgages.

We don’t accept the repayment of a director’s loan as an income source for affordability purposes.

We accept salary and dividends as income for self-employed applicants who are limited company directors.

We don’t accept salary and net profit when assessing affordability.

We accept salary and dividends and can also consider retained profits where:

• The applicant(s) are 100% shareholder(s)
• Accounts for the last two years which show the retained profit at the start and end of each tax year. Retained profit is taken as the growth in retained earnings across each financial year (closing vs opened). We calculate retained profit as the average of retained profits.
  from the latest and current year
• Income remained stable or increasing over the last two years
• We can also consider one year’s figures where the latest year is close to completion and an accountant can confirm the expected profit.

We accept retained profits as an income source where the applicant is a 100% shareholder. We’ll use 100% of the lower of either the latest year’s figure or the average of the last two years.

We accept net profit for sole traders and partnerships as an acceptable source of income for affordability purposes.

We can consider shift allowance as an acceptable source of income.

We can consider applications from sports professionals. Please contact our Lending Support team on 0800 138 9109 for further details.

We can consider standby and call-out payments as an acceptable source of income.

We don’t lend on studio flats.