Self Certificate Mortgage
Self Certificate Mortgage | Expert Advice For The Self Employed
If you feel you are suitable for a self certificate mortgage how should you go about finding out more information? A self certificate mortgage specialist will be able to help.
The self certificate mortgage was designed for those people who could not prove their income, or would have difficulty doing so. This could be because they are self employed and minimise their net income for tax purposes, or it could be because they have a commission-based job with a low guaranteed basic salary but a high level of possible commission. In addition, contract workers and freelancers are also increasingly considering a self certificate mortgage in order to fund their house purchase.
But where should you go if you think you need a self certificate mortgage? Some high street lenders are branching into this sector but it is dominated by specialist lenders who are very experienced in this particular market. They understand that a borrower should not be penalised because they are self-employed or have varying sources or levels of income. Indeed they recognise that somebody who needs a self certificate mortgage could have more financial resources than a traditional borrower, for example City workers with large bonuses.
These specialist lenders have years of experience in designing products for borrowers who cannot prove their income, but many do not have high street branches and do not deal directly with the public. This is because they believe that a borrower who requires a self certificate mortgage has more complex financial circumstance and requirements than a mainstream borrower, so they provide their product via mortgage intermediaries.
Such intermediaries have to be qualified to practice and must have passed professional examinations. In addition to this they need to be fully authorised to advise and sell mortgages by the Financial Services Authority which monitors their work and ensures they fully comply with the strict regulations. And importantly they are covered by two compensation schemes in case any goes wrong - the Financial Ombudsman Scheme protects any borrowers who feel they did not receive the correct advice and the Financial Services Compensation Scheme can help those who have suffered because a company they deal with has gone out of business.
Because you need to go through a mortgage adviser to get a self certificate mortgage from many of the specialist lenders you are afforded this extra protection as well as benefiting from an adviser who may be able to scour the market and find you the most appropriate deal form a variety of lenders. If you go directly to a lender for a self certificate mortgage they may only be able to offer advice, or sometimes only information, on their own products.
Some mortgage advisers have their own offices, some will visit you in your place of work or home and others operate over the internet or the telephone. But all are fully authorised in their business. In addition, some advisers specialise in certain sectors so if you need a self certificate mortgage you could find a mortgage intermediary that specialises in that field and has close relationships with the lenders who provide such products. They may even be able to get you a self certificate product that is not available elsewhere because they have exclusive agreements in place with lenders.
So if you believe that a self certificate mortgage could be right for you, it could make sense to take specialist advice from an expert who can assess your needs and find the most appropriate product for you.
