Mortgage Broker - Separated & Self Employed

yop

Registered User
Messages
401
Hi
Please move if I am in the wrong forum.

I'm a father of 2, agreed to separate in the last few months. Have 2 young kids.
Mortgage on home house has 6 years left (60k remaining). Value is 350k euro.
I left a FT job after 10 years (If only I'd known!) early last year and I started my own company in Nov 2020 and started with a public service contract and one with a pharma.
I have tried to rent but with maintenance and cost of rental Ill end up paying a fortune for dead rent.
So now I'm looking at trying to buy, probably an old house due to the cost of liveable houses and doing it up myself. Or a site and putting a modular home on it.

So I am wondering what mortgage brokers people have used as self employed persons, or am I completely delusional thinking ill get a mortgage.
I have savings of 20k, salary of 75k, pension of 80k.

Many thanks
 

Thirsty

Registered User
Messages
3,769
You need to get settlement issues in relation to separation / divorce resolved first.
 

itsovernow

New Member
Messages
8
I'm in a very similar boat here, so if anybody might know a creative mortgage broker a pm would be appreciated.

OP, For the record, if you're buying a home following a separation/divorce you are now treated like a first-time buyer (https://www.gov.ie/en/press-release...es-expanded-local-authority-home-loan-scheme/).

This will allow you to get access to the new/enhanced Help to Buy/HTB scheme where €30,000 in past taxes can be refunded to you for a deposit (conditions attached, of course) and other things. [https://www.revenue.ie/en/corporate/documents/statistics/tax-expenditures/help-to-buy-stats.pdf]
 

time to plan

Registered User
Messages
477
It sounds like you are a proprietary director rather than a true self-employed sole trader. My experience as a proprietary director is that all mortgage providers want 2 years of accounts and some want 3 years. You'll see this on their websites.

However... try Bank of Ireland via a Mobile Mortgage Manager. https://personalbanking.bankofireland.com/borrow/mortgages/mobile-mortgage-manager/ I did this 5 years ago, as a proprietary director (but in effect daily rate IT contractor), newly set up with no annual accounts. The Mobile Mortgage Manager was very creating in getting my application over the line. They offered me 2.5 x salary, not 3.5 times. Maybe worth a call at least.
 

BizIreland

New Member
Messages
2
As a proprietary director of a limited company, they do provide mortgages but they are more difficult to get and you will need to provide a lot more information and proof. Effectively, the bank will need to know that you have a stable profitable business and a track record of eranings, so that you will be able to make the repayments long-term. Banks will ask you to provide your audited accounts, pay slips, business and marketing plan, supplier contracts and forecasts. Once they get all the information, it will risk assessed. Usually, you will need a few years of earnings to demonstrate ability to repay.
 

time to plan

Registered User
Messages
477
As a proprietary director of a limited company, they do provide mortgages but they are more difficult to get and you will need to provide a lot more information and proof. Effectively, the bank will need to know that you have a stable profitable business and a track record of eranings, so that you will be able to make the repayments long-term. Banks will ask you to provide your audited accounts, pay slips, business and marketing plan, supplier contracts and forecasts. Once they get all the information, it will risk assessed. Usually, you will need a few years of earnings to demonstrate ability to repay.
Maybe it depends on your business type. I've never been asked for a business / marketing plan or forecasts. But I was able to demonstrate in other ways a very strong and secure pipeline (long term contract).
 
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