UK residential mortgage approved for a self-employed applicant with one year of accounts and unusually high Year-on-Year profit growth

We recently helped a 54-year-old physiotherapist to secure a residential mortgage on a newly built home in Kent. Although the applicant had been in the healthcare field for many years, their self-employment history presented a challenge, one that led some lenders to step back. Despite the complexity, we secured the mortgage at 85% loan to value (LTV) through a specialist lender, and the client couldn’t be happier.

Client Profile

• Age: 54
• Employment: Physiotherapist and sole director/shareholder of a limited company
• Company background: Company originally formed in 2013 with a business partner. It became inactive shortly after but was not dissolved. One year prior to the mortgage application, the client reactivated and renamed the company as a 100% shareholder.
• Location: Kent, UK
• Property type: New build home
• Purchase price: £304,995
• Loan amount: £259,245 (85% LTV)
• Builder incentive: £9,600

The Challenges

While the client had decades of experience in their field, their mortgage application was impacted by the following:

• Only one year of meaningful trading activity under the restructured limited company.
• Significant year-on-year profit growth (712%), which many lenders view as unstable.
• Some lenders who normally accept one year of accounts declined the case due to high profit fluctuation.
• Ongoing pressure from the estate agent to move quickly, given the popularity of the new build.
• Gifted builder incentive needed to be accepted by the lender.

Our Approach

• We identified a lender open to one-year trading accounts.
• We presented the full background on the company, including the timeline and reasons for reactivation,
• We highlighted the client’s longstanding experience in physiotherapy as a strength.
• We worked closely with the lender’s underwriters to clarify income stability.
• We ensured the builder incentive was accepted within lending criteria.
• We coordinated closely with the estate agent to manage expectations and timelines.

The Outcome

• The mortgage was approved without issue, using the most recent year’s accounts.
• The lender was comfortable with the 712% profit increase, given the clear explanation of company history and sector stability.
• The offer was issued quickly, and the transaction completed smoothly despite initial concerns.
• The client secured the full loan at 85% LTV, with the builder’s incentive included.
• A very relieved and happy client moved into their new home just as planned.

Compliance Notice

A mortgage is secured against your home. You could lose your home if you do not keep up repayments on your mortgage.

Need Help with a Complex Self-Employed Case?

If you’re self-employed with limited trading history, fast business growth, or an unusual company timeline, we may still be able to help. Let’s have a chat with our specialist mortgage advisors.

• Call us: 0203 0111 986
• WhatsApp: 07822 013240

Important FCA Warning

As a mortgage is secured against your home, it may be repossessed if you do not keep up the mortgage repayments.