April 9th, 2025
If you’ve recently set up a limited company and are looking to get a mortgage, you may have already run into some confusing advice or mixed messages.
While it’s true that mortgage lenders typically prefer applicants with two years of company accounts, that doesn’t mean you’re out of options if you’re newly incorporated.
In this guide, we’ll cover everything you need to know about getting a mortgage as a new limited company director, including how lenders assess your income, what documents you’ll need, and how to improve your chances of success — plus, a handy downloadable checklist to help you prepare.
Why It’s More Complicated for Limited Company Directors
Lenders assess risk based on stable, provable income. As a limited company director, you’re technically self-employed, which means lenders can’t just look at payslips like they would for a salaried employee.
They typically look at:
- Your salary and dividends drawn from the company
- Net profit of the business (especially for sole directors)
- The age of your company and filed accounts (ideally 1–2 years)
But if you’re newly set up, you may not have much to show just yet — and that’s where specialist advice becomes essential.
To understand more about what’s involved in setting up and running a company, visit the Gov.uk page on running a limited company.
Can You Get a Mortgage with Less Than One Year of Accounts?
Yes — it’s possible, although your options will be more limited. Some lenders are open to considering:
- Previous industry experience (especially if you moved from a salaried role)
- Current contracts or regular income patterns
- Personal income projections signed off by an accountant
- Your company’s current performance (bank statements, invoices, cash flow)
Specialist mortgage brokers (like CMME) can help present your case in the best light and match you with lenders who understand limited company structures.
If you’ve recently registered your business, you can learn more about that process via Gov.uk – Set up a business.
What Documents Will You Need?
Here’s what you’ll likely be asked for:
- Business bank statements (last 3–6 months)
- Personal bank statements (last 3–6 months)
- Signed contract(s) or proof of regular income
- SA302 tax calculations (if filed)
- Company incorporation documents
- Accountant reference letter (forecasting income)
- Proof of deposit and ID
Tips to Strengthen Your Application
- Keep business and personal finances separate – it helps clarity.
- Work with an accountant familiar with mortgage lending – they can prepare income projections and reference letters.
- Limit large one-off expenses before applying for a mortgage.
- Have a larger deposit if possible – it reduces the lender’s perceived risk.
- Get a Mortgage in Principle early – to understand your borrowing power.
👉 Use our Mortgage Day Rate Calculator to get started in minutes.
Frequently Asked Questions
Can I get a mortgage with less than one year of company accounts?
Yes, some specialist lenders will consider applications from new limited company directors, particularly if you have a strong professional background, a signed contract, or consistent income projections from an accountant.
How do lenders assess income for limited company directors?
Most lenders assess income based on a combination of your salary, dividends drawn, and in some cases, retained profit within the business. If you’re newly incorporated, they may also accept accountant-prepared income forecasts.
What deposit do I need as a new limited company director?
Typically, you’ll need a deposit of at least 10–15%. Having a larger deposit (e.g. 20% or more) can increase your chances of mortgage approval and give access to better rates.
Do I need an accountant to apply for a mortgage?
While not mandatory, having an accountant is strongly recommended. Lenders often request income projections or SA302s, which are best provided by a qualified accountant familiar with mortgage underwriting requirements.
How CMME Supports New Company Directors
CMME specialises in working with self-employed professionals, including limited company directors. We understand how to position your income to lenders, even if you don’t yet have a full trading year behind you.
Whether you’re drawing a small salary, taking dividends, or using retained profits, we’ll help you navigate the process and access lenders who are contractor- and director-friendly.
Want expert advice? Book a free initial consultation with one of our mortgage specialists today.
Final Thoughts
Getting a mortgage as a new limited company director isn’t always straightforward — but it’s absolutely possible with the right preparation and guidance. By understanding what lenders need, gathering the right documents, and working with a specialist, you can get a step closer to securing your home.