01 · Key points
What matters for this topic
Provide complete figures for several years
Separate personal and business liquidity
Explain exceptional items clearly
Allow for taxes and reserves
Choose lenders suited to your profession
02 · Context
Banks assess sustainability
The latest profit is not the only factor. Lenders consider several years, fluctuations, the sector and future viability. Clear presentation prevents exceptional items being misunderstood.
03 · Context
Current figures must be reliable
A BWA management report is meaningful only if bookkeeping is up to date and period allocations are correct. Outstanding items, taxes and personal withdrawals should fit the overall picture.
04 · Context
Choosing suitable lenders saves time
Lenders assess self-employment differently. Sector knowledge, minimum business history and income calculations vary. Targeted selection reduces unnecessary enquiries.
05 · Be prepared
Points you should not underestimate
- Incomplete BWA or missing tax assessments
- Treating one-off profits as permanent income
- High personal withdrawals
- Outstanding tax liabilities
- Major business changes shortly before applying
06 · Documents
Commonly required documents
The documents actually needed depend on the lender, your plans and personal circumstances. The following are often useful for preparation:
07 · Practical example
What an assessment might look like
A business had a weaker year because of investment but is now stable. Submit figures with clear explanations of the investment, order book and current results rather than in isolation.
This example is illustrative only and is not a mortgage commitment or quotation of terms.08 · Frequently asked questions
Questions about Mortgages for the self-employed
How long must I have been self-employed?+
Many banks want several completed financial years. Individual solutions may be possible, for example after a seamless transition within the same sector.
Which figure counts as income?+
Banks use their own calculations based on profit, taxes, depreciation and other items. Methods differ by lender.
Is a large down payment essential?+
Not as a general rule. More equity often improves risk assessment and terms.
Important information
The information on this page is general. It does not replace individual mortgage, legal or tax advice and is not a binding credit commitment. Requirements and terms are assessed individually.