Self Employed

Are you self-employed and looking for a mortgage option that can assist you in buying a home for yourself? Well, you can certainly face some challenges you hadn’t anticipated. Standard mortgages might provide some particular problems for someone who is self-employed when it comes to purchasing a home.

A Self-Employed Mortgage: What Is It?

Mortgages for self-employed borrowers are available for those who depend on their businesses or self-employment as their primary source of income. If you work for yourself, your income will be different from that of normal borrowers, who are paid twice a week in a stable and predictable manner.

Merits of self-employed mortgage

You could get approved for a larger mortgage amount.

You stand a better chance of being approved for a larger loan amount if you plan to deal with a lender who accepts stated income mortgages than you would if you submitted a conventional mortgage application.

The approval procedure is really quick.

You can get accepted for a stated income mortgage in a matter of hours, as opposed to the customary waiting game that goes on with ordinary mortgages, where you play a back-and-forth game for weeks on end.

Demerits of self-employed mortgage

You might not be eligible at your bank.

There’s a good chance you may need to apply at a financial institution or lender you’ve never used before even if certain lenders provide self-employed mortgage products. This is because they may not always check all the right boxes for you.

Rate hikes compared to conventional mortgages The rates for self-employed mortgages will reflect the higher risk that the lenders are incurring by working with a borrower who has a less steady income. Whatever may be the merit or hurdle, Raj Puthenkulangara can help you with the best mortgage services and cater to your needs.