Low loan to value, latest accounts, help!

Posted on 15 January 2013 by Mrs Mullen


Hi. We have £260k equity and would like to borrow £200k. I am a stay at home mum and my husband is a self employed builder. He has a great credit score and 22yrs with the same accountant. BUT, we need a lender who will go off just 1yrs accounts, because he has had a good year. not an average of the last 3yrs. Can anyone help?? Thank you.

Usually lenders like to see 3 years accounts as it gives them a good picture of the way a business is performing, and to counter concerns that they may be lending based on one exteremely good year which isn't sustainable in the longer term. Many of the lenders who will look at 1 years accounts focus on businesses that have only recently started rather than those that have been trading a long time.

As most of the larger (high street) lenders tend to work in this way, we may need to look at a lender who manually underwrites cases and can therefore judge each case on its merits. Manual underwriters can also look at future projects that your husband may have in the pipeline as well. The loan to value looks very good which will also help when talking to an underwriter.

If you would like to discuss your alternatives in more detail then please let me know and I'll arrange for one of our consultants to contact you.

Regards,

Alistair

contact@johncharcol.co.uk

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