How to Get a Mortgage When You’re Self-Employed with Just 1 Year of Accounts | Expert Tips & Lender Options

Can You Get a Mortgage with Only One Year of Accounts? Let’s Talk!

Being self-employed is great—you’re your own boss, set your own hours, and build something for yourself. But when it comes to getting a mortgage, things can feel a bit trickier. At Mortgage Bridge, we help self-employed people like you find the right mortgage, even if you’ve only got one year’s worth of accounts.

Most lenders want to see two to three years of financial records, which isn’t ideal if you’re just starting out. But don’t worry—there are options out there! Let’s break it all down and show you how you can get approved.

Why Do Lenders Make It Hard for Self-Employed People?

Lenders like stability, and most of them prefer applicants with a steady income history. That’s why many ask for at least two or three years of accounts. If you’re newly self-employed, that might seem unfair, but don’t panic—some lenders specialise in self-employed mortgages and understand that income isn’t always predictable.

What Are Your Mortgage Options If You’re Self-Employed with One Year of Accounts?

1. Which Lenders Will Accept Just One Year of Accounts?

Some lenders do offer mortgages to self-employed people with just one year of trading history. These are often specialist lenders who are more flexible than the big banks. They’ll look at things like:

  • Your credit score
  • How well your business is doing
  • Your deposit size
  • Other income sources (e.g., rental income, side businesses)

Since these lenders are taking on a bit more risk, they might charge slightly higher rates. But don’t worry—we’ll help you compare mortgage rates to find the best deal.

2. Do You Need an Accountant’s Reference to Get a Mortgage?

A reference from an accountant can make a big difference in getting your mortgage approved. If your business is growing fast, some lenders will even accept projected earnings from a certified accountant.

An accountant’s report tells lenders:

  • Your actual income for the year
  • Your estimated income for the next year
  • How stable your finances are

Not every lender asks for one, but it’s always good to have just in case.

3. How Much Deposit Do You Need If You’re Self-Employed?

A bigger deposit can really help your case. If you’ve only got one year of accounts, a larger deposit can make lenders more comfortable.

Here’s why a bigger deposit is a win:

  • You’ll get better mortgage deals (lower interest rates)
  • Your monthly repayments will be lower
  • You’ll increase your chances of getting approved

If you can, try to save up at least 15-20% of the property’s value before applying.

4. Should You Use a Mortgage Broker to Help You?

Short answer? Yes.

Getting a mortgage when you’re self-employed can be complicated, but a broker (like us at Mortgage Bridge) can take the stress out of it. We work with specialist lenders who are more likely to approve self-employed applicants with only one year of accounts.

Here’s how we help:

  • We find lenders that accept one year of accounts
  • We handle all the paperwork for you
  • We help you compare mortgage rates and find the best deal

5. How Can You Improve Your Credit Score Before Applying?

Your credit score plays a big role in your mortgage application. A strong score can help offset the fact that you only have one year of accounts.

Here’s how to boost it:

  • Pay your bills on time (credit cards, loans, utilities)
  • Keep your credit card balances low
  • Check your credit report for mistakes and fix any errors
  • Don’t apply for too many loans at once (hard credit checks can lower your score)

A good credit score = better mortgage options and lower interest rates.

What Are Some Alternative Mortgage Options If You’re Struggling to Get Approved?

1. Can You Apply for a Joint Mortgage?

If you apply with a partner or family member, lenders will consider both of your incomes. This can improve your approval odds, especially if the second applicant has a more traditional job.

2. What Is a Guarantor Mortgage?

A guarantor mortgage is when a family member agrees to cover your payments if you can’t. This reduces the lender’s risk and makes approval easier.

3. Can Contractors Get a Mortgage with One Year of Accounts?

Yes! Some lenders offer contractor mortgages, where they assess your daily or monthly earnings rather than looking at a full year’s accounts. If you’ve got a strong contract history, you might not need to worry about having only one year of accounts.

The Bottom Line: Can You Get a Mortgage If You’re Self-Employed with One Year of Accounts?

Yes, you can! It’s not always straightforward, but it’s definitely possible. The key is to:

  • Work with specialist lenders who understand self-employment
  • Get an accountant’s reference to strengthen your application
  • Save for a bigger deposit if possible
  • Keep your credit score in top shape
  • Speak to a mortgage broker (like us!) to help you find the best deals

At Mortgage Bridge, we’re here to help self-employed people like you find the right mortgage. If you’re ready to take the next step, get in touch—let’s see what we can do for you!