£650,000 – Residential Mortgage for a Ltd Company Director

The Story

A client was referred to us as he wished to purchase a new main residence however from an initial glance the income on his tax calculation would not support the amount he wished to borrow. 

The Challenge

The client was a Ltd Company Director with a 10% shareholding in a good sized family business.  He drew a salary and minimal dividend from the business which was reflected on his tax calculations however he wished to borrow more than 5 times this figure. 

The Solution

As the client had a 10% shareholding in the business we were able to use 10% of the company net profit towards mortgage affordability.  As the company had substantial profits which were not all being drawn by the directors this worked in our favour.  We obtained an accountant’s reference and 2 years accounts for the business as supporting documentation.  We then approached a high street lender who was able to use the figures provided on the accountant’s reference for their affordability assessment.  The client was able to secure a fixed rate under 1% for the full amount of borrowing he needed.

Mortgage Broker For Non-Standard Income

Fox Davidson are a specialist mortgage brokers, including for the self-employed, Company Directors and other non-standard income clients.

We have offices in Bristol, Bath, Exeter and London.

Email enquiry@foxdavidson.co.uk or call us on 0117 989 7950 to discuss your holiday let mortgage options.