The Situation

We recently helped a first-time buyer secure a mortgage on a £326,000 property. They needed a loan of £286,000 and were looking to spread it over 44 years. Thanks to our flexible lending approach, we were able to offer the full loan amount, well within our policy of lending up to age 85, depending on income sources. While we do not set a maximum mortgage term, the length of the loan simply depends on applicant’s age and income.

The Client

The applicant was self-employed as a sole trader and had seen a steady rise in income over recent years. While some lenders average out earnings or focus on the most recent year alone, we took a broader view. After reviewing their financial history, we used the full income from their latest years to assess affordability, which gave a more accurate picture of their true borrowing power.

What We Did

Using our affordability model – which uses ONS data – we were able to offer a loan at 6.23 times the applicant’s income. Unlike many lenders who cap borrowing based on strict multiples, we do not impose a hard limit. This flexible, needs-based approach means we can lend where others simply cannot.

We approved the £286,000 loan, which came to around 88% LTV, and offered the full 44-year term. The applicant met our criteria, and we could see the mortgage would remain affordable over time.

Why It Worked

This case stood out because of the applicant’s self-employed status. While some lenders see that as a red flag, we looked at the full context:

•             Their income was increasing steadily, not peak and troughing.

•             They had clear, consistent documentation from HMRC.

•             They had the potential to earn more over time.

Instead of penalising them for not being in a PAYE role, we took the time to understand their circumstances and used our flexible and personal approach to structure the mortgage around their real-life situation.

The Outcome

The buyer got the keys to their first home, with a mortgage tailored to their situation. The broker was able to demonstrate real value to their client by choosing a lender who could take a practical, supportive view of self-employment.

What This Shows

At The Stafford, we understand that income isn’t always straightforward, especially for self-employed clients. That’s why we use real life information, not just rigid formulas, to make lending decisions. It means we can offer competitive, long-term support to clients whose financial journey might not fit into a standard box.

This case is a great example of how we help brokers deliver for their clients and why we’re a trusted partner for many brokers across England and Wales.

Submit your first-time buyer case today