Income 101: improvements to what we’ll accept.
NEW: We now take net profit after tax plus salary
You asked….we listened!
For self employed applicants (where applicable) we will now take either net profit after tax + salary, or salary + dividends, whichever is higher.
We will use the latest years figures* if the increase is less than 20% – if more we simply use an average of the last 2 years.
*If the ’21 tax return or accounts dated 30th Dec onwards are available.
NEW: for self employed borrowers we now take net profit after tax and salary.
Great news for helping with affordability! Don’t forget we can lend up to 5.5x income if one applicant earns at least £75,000.
NEW: zero hours criteria now includes Bank Nurses.
For your zero hour clients we accept 100% of income provided there is a minimum of 18 months track record of earnings, now including bank nurses.
More income top picks…
Alongside the main areas above, here are 3 income areas we think you should know about…
1. Pension income at 100%.
- 100% for ‘standard’ pension income.
- For applicants over 55 we can divide 80% fund value of a SIPP/pension fund that isnt being drawn by the mortgage term and use the resulting figure in our calculations.
2. Rental income profit at 100%, investment income at 75%.
- We’ll take non-employed strands of income, such as rental and investment incomes.
3. Child benefit, maintenance payments and tax credits all at 100%.
- For applicants with dependent children we will take 100% of any court-ordered maintenance, plus state benefits.