Mortgage Self Certification
Mortgage Self Certification - Features and Benefits Revealed
No proof necessary
To offer a mortgage self certification, the lender does not have to see PAYE slips. Usually with a mortgage, the lender is very eager to see that you have a job and you will be in that job, or in any job, for the duration of the deal. But mortgage lenders realised that that is sometimes impossible - there are hundreds of jobs that don't rely on a set monthly income, but at the same time bring in more than enough money to cover a mortgage. So they invented a way for borrowers to get mortgage self certification. The borrower must have a good credit history and must have proof of past incomes as way of showing that they have been able to handle debt, but that's all that is necessary.
Millions can benefit
According to recent studies, as many as one in ten people in the UK may need mortgage self certification as they are considered unable to prove their income. That's a lot of homeowners who could be turned down for a regular mortgage, but a lot of homeowners who could more than afford to meet any monthly repayments. Maybe you are one of these six million Brits who are self-employed, rely on bonuses or contracts, have more than one job or even work on commission. If you are, see if you would benefit from mortgage self certification.
Higher risk but more rewards
Of course, mortgage self certification is not the cheapest option - when it comes to mortgages, risk means cost. But although you may have to paya slightly higher rate and have to deal with a lower loan to value ratio, you can be sure that a mortgage self certification will be able to handle all of your financial needs. Need to consolidate debt? Need a longer term? Want to pay off your mortgage earlier? Need a flexible payment plan? Whatever your financial needs, mortgage self certification can help - and maybe even save you money.
Advice is everything
The key to getting mortgage self certification right is utilising the skills of professional adviser or mortgage broker. A qualified broker is the only person who will be able to find you the best deal from the whole of the market to fit with your situation - those who cannot prove their income are inclined to have more complicated financial situations or pasts that need careful handling. Also, mortgage self certification is a riskier deal, and only offered by high-risk lenders who deal exclusively through the intermediary market. So if you don't seek out an broker for your mortgage self certification, you might be missing out on a host of self cert mortgage deals that you might never have found. In a nutshell, mortgage self certification is the best way for those who cannot prove their income to find themselves a home loan that will work with their unique situation.
