Mortgages With Last Year’s Accounts

It’s normal for lenders to take an average of your income from over the past two or three years and use that figure to base their affordability assessments on. However, there are some situations when you might need or want a lender to base assessments on just your last year’s accounts, and that is possible.

Do you qualify?


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Author: Carl Shave - CEO and co-founder
Last updated: 07 Dec 2023

Specialist Mortgage Brokers

If you are self-employed or run a limited company, the mortgage application process may feel a little complicated. Regardless of how you have structured your business, Just Mortgage Brokers can help you find the right lender who can calculate your potential borrowing on just one year’s accounts.

Self-employed topics

No matter your income, if you're self-employed, contracting or a sole trader or partnership - we can help you.

Useful Information

Getting a mortgage with one year's accounts

Each year, more people opt to be self-employed and the market is moving to accommodate this. In addition, there are lenders willing to use just one year’s accounts to base their mortgage underwriting assessment on.

There are three scenarios where you may need or want to apply for a mortgage with just one year’s accounts:

  1. You have not been trading long enough to have more than one year’s accounts.

    In certain cases, specialist lenders may even be able to lend to you if you have not been trading long enough to cover a full tax year. Instead, they will base their decision on a ‘rolling year’ of business accounts.

  2. You have changed trading style and only have one year’s accounts under the new trading structure.

    If you have moved from being a freelancer to setting up a limited company, or significantly changed the nature of your business, you may only have one year’s accounts under the current structure.

  3. You have increased profits showing in your last year’s accounts, and want to base your mortgage lending on the higher amount.

    Depending on how the lender assesses income and the period they use, the maximum amount you can borrow can vary significantly. We’ve provided an example below.

Mortgage lending based on increased profits

This shows the difference in being able to borrow £171,000 and £220,500 is significant. A simple difference in lending criteria can make a difference to the home you can afford.


Tax Year Profit
Year 3 £30,000
Year 2 £35,000
Latest year £49,000


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