Finding The Best Ltd Company Director Mortgage Deal For Your Circumstances
If you’re struggling to get a mortgage as a limited company director, our expert advisors are here to help. Many factors can make limited company director more complicated, and there are various ways to approach the application.
Mortgages for limited company directors
Whether you apply using retained profits, face fluctuating turnover, or have only been in business for a few years, our team can help you decide on the next best steps. With an intricate understanding of the mortgage market, we’ll match you up with the lenders and mortgage deals most suited to your needs. Mortgages are no longer a mystery when our friendly team get involved!
Can I get a mortgage as a limited company director?
Yes! If you’re the director of a limited company, you may be finding the search for a mortgage a little confusing. That’s because the way you apply varies depending on your exact circumstances. Most mortgage providers would class a limited company director with less than a 25% share in the company as an employee and they therefore would apply for a standard residential mortgage using income. Company directors with more than a 25% share, however, would need to apply as self-employed. A specialist mortgage broker from our team will be more than happy to talk through your situation with you and formulate the best approach for you.
Can I use a director’s loan for a mortgage deposit?
Yes, it is possible to use funds from your company for a house deposit through a director’s loan. Most mortgage lenders will want to make sure this won’t have an adverse impact on your business or your personal outgoings.
They may request evidence from your business accounts to confirm the business’ ability to lend you the money. If they can see that the loan won’t affect the sustainability of your future income and how the business will manage moving forwards, there is likely to be no issue with using this sum for your deposit.
Maximise your chance of approval with specialist advice from an expert in Ltd Co Director Mortgages
Will I have to put down a bigger deposit for a mortgage as a Ltd company director?
No, being a limited company director doesn’t mean you need a bigger deposit. Of course, putting down a larger sum of money is always going to boost your chances of mortgage approval with many lenders because a larger deposit reduces the Loan to Value (LTV) ratio, and therefore the risk. You may also be able to access lower rates of interest if you can increase the size of your deposit.
If you can’t manage a large deposit, however, that shouldn’t be a problem.Talk to our expert team today and we can start moving your company director mortgage application in the right direction and identify suitable mortgage lenders for your circumstances.
Will only my salary and dividends be assessed when I apply for a mortgage?
Yes! Most borrowers choose to use their salary and dividends as income for their mortgage applications, leaving the cash in the business to fund future growth or minimise personal tax bills. However, this can reduce the amount you can borrow for a mortgage.
Other options, which some borrowers choose, is to look for a lender who will consider their share of net or gross profits. While many high street lenders may not consider this, a specialist lender may be willing to allow a larger sum to be borrowed. If you want to look into the options available, our friendly team can seek out a limited company director mortgage best suited to your circumstances, with a specialist lender who will consider company profits as well as income.
Ltd company director mortgage FAQs.
Ltd Co Director Mortgage Calculator
Trusted mortgage advisors for Ltd company directors.
When the Bank Says No has helped Ltd company directors all over the UK secure their mortgage deal. We take the hassle out of the process, allowing you to focus on the most important thing – directing your company!
From talking through your credit file to guiding your application to sourcing suitable specialist lenders, we'll be there at every stage of the process to ensure you get the right result for you. We can use a self-employed mortgage calculator to work out how much you potentially could borrow. Some things in life can be complicated, but mortgages for company directors don't always have to be.
Low-stress mortgages with specialist lenders.
Struggling to understand the mortgage process as an Ltd company director? We know it can be confusing to find out that the lending criteria means that you are technically classed as self-employed by mortgage lenders, when you know you are an employee!
Never fear, our team can provide the right mortgage advice to help you unpick all the knots and identify the right route for your application. With an expert team of advisors at your side, you can feel confident that your future plans are on track.
