After reading ’Brokers abusing B2L for self-cert clients, says FSA’ on Mortgage Strategy Online I was surprised that the industry did not see this coming.
Was it not obvious to any self-respecting industry expert when self-cert was killed off? Self-cert existed for many years and lenders were happy with their margins and arrears books. There are thousands of self-employed people who want to buy property but struggle because lenders discriminate against them.
Why is it that an employed person can secure a mortgage based on income that they will earn in three months’ time, while any one who is self-employed has to be earning an increased income for up to three years before a lender will work off the higher figure?
We need lenders to have some guts, show creativity and find a solution for our self-employed clients.