Being a freelancer can be a fantastic lifestyle, and it certainly has many benefits that you won’t get with other ways of life. But it can also be quite stressful when it comes to certain financial implications. One example of this in particular is when you are trying to buy property such as your own home. Securing a mortgage through traditional means can be difficult, because a lot of traditional lenders don’t want to touch someone who earns money through freelancing. However, it is still perfectly possible to get a mortgage as a freelancer, as long as you bear some of the following things in mind.
It Is Possible
The first thing to say is that it is perfectly possible to get a mortgage as a freelancer. It is not as easy or straightforward as with other circumstances, but that is not to say that it’s by any means impossible. As long as you are aware of some of the things we will look into below, you should be able to get one, even if it takes a little longer than usual. However, it’s helpful to remind yourself that it is indeed possible, especially if you use a professional mortgage broker frankston (or someone similar in your community), so that you are going into it with the right frame of mind. That alone can help.
Choose Provider Carefully
The main thing you can do to make it easier to get a mortgage as a freelancer is to be careful with which provider you go through. If you look at many of the traditional lenders, such as banks, you are probably going to have a lot of trouble finding one that is happy to give you a mortgage. However, if you expand your awareness a little and look at some other options, you should be able to find a provider that is keen to give freelancers mortgages, perhaps even specifically aiming to do so. Then you can change home mortgage providers easily and hope to get the mortgage you need.
Trading Period
One thing you have to consider regardless of what kind of lender you go through is your trading period. Essentially, the longer you work and can prove that you have received consistent income, the easier it is to convince lenders that you are a good candidate for a mortgage. So that is something that you are going to want to think about, and you need to make sure that you have been trading at least three years usually before you are considered worthy at all. So try not to do it too early if you can help it!
Records
Because of that and other reasons, it is a really good idea to make sure that you have the appropriate records to show companies. You should be keeping clear financial records of your business and freelance duties, your income and outgoings and so on. As long as you have done that, you are going to find that getting a mortgage as a freelancer is a lot easier and simpler, so this is definitely something to think about.
