Q1 Mortgage Newsletter 2024

comes at a time when the total solo selfemployed population has decreased by 154,000. Additionally, it was found that 15% of those aged 50 and over who are selfemployed launched their businesses within the last three years. Self-employed borrowers are a key example of why manual underwriting by people who have a real understanding of this market is so important . Self-employed individuals may have more complex financial circumstances, income sources, and business structures but for a lender who can look at individual circumstances and utilise underwriting expertise, this isn’t a problem. By leveraging expertise and understanding nuance, well-informed decisions can be made that mitigate the presumed risk. We know that this market has been typically underserved due to its complexity. But beyond this, too many self-employed people have rarely had a positive mortgage experience, often being led to believe that they can't get a mortgage. This misconception is extended as they, understandably, then share their experiences with fellow self-employed individuals. Our response is a commitment to helping our broker partners navigate this complex market and play our part in adding to the choices available in this underserved market. Our BDM team are available for pre-DIP case discussions and have direct access to our underwriting experts, and we also provide live chat support via our website. Our Self-employed range includes fee assistance for clients who need help with costs, products for home purchase, and remortgage on loans up to £1 million. Our criteria is equally compelling. We offer one-year Self-employed products up to 80% LTV, which only require one year's full accounts to support those who have been trading for under two years. In addition to this, our offer is available to limited company directors who have been established for over two years and have shareholdings of more than 25%. We will assess the applicant's share of net profit before tax, using either the average of the past two years' accounts or the latest year if it's lower, or by looking at the latest year's remuneration and net dividend figures. Our approach to supporting self-employed borrowers is just one aspect of our ongoing efforts to identify and deliver solutions that meet market needs. Powered by Partnership is more than just words. We work closely with brokers, review our processes, and listen to the market to help us invest in the technology, people, products, and service enhancements we know you and your clients value. Explore our new and improved website and experience the enhanced features firsthand at www.newcastleforintermediaries.co.uk. 1 - Statista - Self Employment 2 - IPSE - Self Employed Landscape in 2023 17 SPRING MORTGAGE NEWSLETTER

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