Applying for a mortgage always has its complications, but if you’re a small business owner, then it can be even trickier. Here at Mortgage Masters, we can give you all the financial advice that you and your small business may need on how you should be juggling your potential small business loans alongside your mortgage. At the end of the day, a small business loan will affect your credit score and it’s possible that it will be harder to secure a mortgage if the business loan wasn’t handled correctly. It’s important to secure a business loan that drives both business success and protects personal credit score too, so your personal life doesn’t have to suffer.
Navigating Obstacles to Commercial Loans
It used to be much easier to receive a loan for those with good credit, which made it much easier for people with complicated tax forms, such as small business owners, to obtain a loan. Unfortunately the system was abused during the years of financial crisis and as a result, those applying for mortgages are required by law to provide up to two years of detailed documentation outlining your finances. There are many complex obstacles that small business owners must face to get a home loan, but don’t worry, we’re here to help you on every step of the journey.
Strengthen Your Application
Some things you can do to successfully secure a mortgage alongside your business loan are: be wary of changes in tax status, co-sign if possible, pay the largest down payment possible, and improve your credit score by paying all bills early and securing a history of credit that shows you and your business in a positive light. When you apply for a mortgage, your lender will look carefully at your debts, income, employment status and credit. Most mortgage lenders have strict credit criteria when they consider making a long-term investment in a borrower and in the current financial climate; lenders have made today’s screening practices stricter than ever before.
Mortgages and Business Loan Experts
If the business loan wasn’t handled correctly, your request for a mortgage could be negatively impacted. That’s why it’s important to secure a small business loan that drives both business success and protects your personal credit score. With Mortgage Masters, we understand the requirements needed and the implications of both mortgages and small business loans and we’re dedicated to helping you and your small business flourish alongside each other. We outline what impacts your credit score and where it needs to be to secure the best mortgage possible for you; alongside what you can do to impact this rating and what commercial bank or moneylender would be most beneficial in securing your pathway, to achieving your business goals and personal goals. Request a Consultation online or contact us today.
Book a consultation or ask any questions you may have about your finances by giving us a call on 0800 630 7171.