View more on these topics

Lenders should have guts to find solution for the self-employed

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.

David Jones

Recommended

JulianWells

A helping hand in uncertain times

In these perilous times the pressure on financial services organisations to offer consumers the service they expect while keeping the regulator happy is greater than ever. But outsourcing tasks to specialists could help them manage costs and reduce in-house stress

Finance is only one hurdle for small developers

The housebuilding market in its current form simply isn’t working. We are completely over-reliant on the biggest players in the industry – the largest nine are responsible for more than 50 per cent of the new homes built in the UK. But there is a reluctance to do more, particularly in this uncertain post-Brexit world. And with […]

Newsletter

News and expert analysis straight to your inbox

Sign up