A Comprehensive Guide: Self-Employed Mortgages with 1 Year’s Accounts



In today’s dynamic job market, self-employment is a path that many are choosing to pursue. Whether you’re a freelancer, consultant, contractor, or small business owner, being self-employed offers the freedom to shape your career and financial future. However, when it comes to securing a mortgage, self-employed individuals often face unique challenges, especially if they have only one year’s worth of accounts. In this blog post, we will explore the options available for those seeking self-employed mortgages with just one year of financial history.

The Self-Employed Challenge

Traditional mortgage lenders typically require a steady employment history and a stable source of income for at least three years to consider an applicant for a mortgage. Unfortunately, this requirement can be a significant obstacle for self-employed individuals who are just starting out or who have recently transitioned to self-employment.

In recognition of the evolving workforce, several mortgage providers have mortgage products tailored to meet the needs of self-employed individuals with one year’s worth of accounts.

Understanding Your Options

1. Specialist Lenders

One option for self-employed individuals with one year of accounts is to explore specialist lenders. These lenders have a deeper understanding of self-employment income and are more flexible in their lending criteria. They may consider additional factors such as the applicant’s credit score, deposit size, and the prospects of their business. While interest rates with specialist lenders might be slightly higher, they provide a valuable alternative when mainstream lenders decline applications.

2. Accountant’s Reference

To strengthen your mortgage application, consider obtaining an accountant’s reference. This reference can provide detailed insight into your financial stability and business prospects, which could improve your chances of securing a mortgage.

3. Bigger Deposit

If you have just one year of accounts, you might need to offer a larger deposit to lenders. A larger deposit demonstrates your commitment to the property and reduces the lender’s perceived risk.

4. Mortgage Brokers

Engaging the services of a mortgage broker can be incredibly beneficial for self-employed individuals. These professionals have extensive knowledge of the mortgage market and can help you find lenders who are more likely to approve your application.

5. Improve your credit score.

A strong credit score is crucial when applying for a mortgage, especially with a limited financial history. Make sure to pay your bills on time, reduce outstanding debts, and keep your credit utilisation low.


Self-employment brings numerous advantages, including the freedom to be your own boss and shape your career. While securing a mortgage with just one year of accounts can be challenging, it’s not impossible. By exploring specialist lenders, obtaining an accountant’s reference, offering a larger deposit, and improving your credit score, you can significantly enhance your chances of successfully applying for a self-employed mortgage.