Use this self employed mortgage calculator to estimate how much you could borrow when you work for yourself. Enter your last two years of profit, or salary plus dividends if you are a company director, and it shows the income lenders are likely to use and what you could borrow.
What you could borrow
- Income lenders may use
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- You could borrow about
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- Range (4x to 5.5x)
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- Monthly payment
- –
In the example, a sole trader with profits of £45,000 and £40,000 has an average of £42,500. At 4.5 times income they could borrow about £191,250.
How to use the self employed mortgage calculator
- Choose sole trader or company director.
- Enter your latest and previous year’s income from your tax calculations (SA302s).
- Add a joint applicant’s income if you are buying with someone.
- Choose an income multiple and enter a rate to see the payment.
How lenders assess self-employed income
- Sole traders: net profit from your tax return, usually the average of 2 years, or the latest year if it is lower.
- Partners: your share of the partnership profit.
- Company directors: salary plus dividends, or with some lenders, salary plus your share of the company’s net profit after tax, which can be higher if you leave money in the business.
- Contractors: some lenders use your day rate × 5 × 46 or 48 weeks.
Most lenders want 2 years of SA302 tax calculations and tax year overviews from HMRC, which you can download (GOV.UK: SA302). Some will lend after 1 year of trading.
Self employed mortgage calculator examples
| Income used | 4 times | 4.5 times | 5.5 times |
|---|---|---|---|
| £25,000 | £100,000 | £112,500 | £137,500 |
| £35,000 | £140,000 | £157,500 | £192,500 |
| £45,000 | £180,000 | £202,500 | £247,500 |
| £60,000 | £240,000 | £270,000 | £330,000 |
| £80,000 | £320,000 | £360,000 | £440,000 |
Keep in mind that reducing your profit to cut tax also reduces what you can borrow. Plan ahead if you are buying in the next year or two.
Tips for a self-employed mortgage
- File your tax returns on time and keep your accounts up to date.
- Keep business and personal spending separate.
- Use a broker who knows which lenders treat self-employed income kindly.
- Save a bigger deposit if your income varies a lot.
Related calculators
Check the tax on your profits with the self employed tax calculator, and plan your savings with the mortgage deposit calculator.
Self employed mortgage calculator: director example
Alex runs a limited company and takes a £12,570 salary plus £35,000 of dividends, so £47,570 a year. The company also keeps £30,000 of profit after tax. A lender using salary and dividends would count £47,570; one using salary plus share of net profit would count £72,570. At 4.5 times, that is the difference between about £214,000 and £326,000. Enter each figure in the self employed mortgage calculator to compare.
Frequently asked questions
Can I get a mortgage with 1 year of accounts?
Some lenders accept 1 year, especially if you were in the same line of work before. Most prefer 2 years.
Do self-employed people pay higher mortgage rates?
No. Self-employed borrowers get the same rates as employees if they meet the lender’s criteria.
What income does a self employed mortgage calculator use for directors?
Usually salary plus dividends. Some lenders use salary plus share of net profit, which this calculator lets you enter instead.
How much can I borrow on £50,000 self-employed income?
Roughly £200,000 to £275,000 at 4 to 5.5 times income, depending on the lender and your outgoings.
About this calculator
This self employed mortgage calculator uses income multiples as a guide. Information on SA302s was checked against GOV.UK on 9 November 2026. Lenders make their own decisions.