How do lenders assess income for Ltd company directors?

There are two main approaches. The majority of lenders use salary + dividends — the amounts you've actually extracted from the company. A smaller number of specialist lenders will also consider net profit before tax (or salary + net profit), which is particularly useful for directors who retain profits in the company rather than extracting them as dividends.

What shareholding do I need to qualify as self-employed for mortgage purposes?

Most lenders treat you as self-employed (rather than employed) if you own 20–25% or more of your company. If you own a lower percentage and receive a salary under PAYE, some lenders will assess you as employed. We advise on the optimal approach based on your shareholding and income structure.

I leave profit in the company — can this count towards my mortgage?

Yes — with the right lender. Specialist lenders will consider salary + net company profit (before tax) as your total income. This can significantly increase your borrowing capacity compared to lenders who only look at salary + dividends. We work with these specialist lenders and know exactly what documentation they need.

What documents does a Ltd company director need?

Typically: 2–3 years of accountant-prepared company accounts, 2–3 years SA302 tax calculations and HMRC Tax Year Overviews, dividend vouchers, last 3 months personal and business bank statements, and a reference from your accountant if requested. We'll give you a precise list based on your chosen lender.

What if my company has only been trading for 1–2 years?

Mainstream lenders typically want 2–3 years of accounts. However, some specialist lenders will consider just 1 year if the company is profitable, growing, and you have a strong personal credit profile. See our guide on 1-year self-employed mortgages for more detail.

Ltd Director Specialists

Limited Company Director Mortgages

Director income structures are complex — salary, dividends, and retained profits require a specialist approach. We know which lenders count your full income and will maximise your borrowing.

Salary + DividendsRetained Profit Counted2 Years AccountsSA302 + Company Accounts£20k–£20m turnover

Lenders that count salary + dividends
Lenders that count salary + retained profit
We choose the approach that maximises your borrowing
Specialist advice for high-earning directors
Most clients get a mortgage offer within 48 hours
Free service — no fees

Book Free Consultation Call 0161 000 0000

Your home may be repossessed if you do not keep up repayments on your mortgage. MortgageReady is authorised and regulated by the FCA.

Director Mortgage Advice

Specialist advice · No obligation · FCA regulated

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Two Different Approaches

How Lenders Assess Director Income

Not all lenders are equal when it comes to director income. Choosing the right one can mean tens of thousands of pounds of additional borrowing capacity.

Standard Approach

Salary + Dividends

The most common approach. Lenders take your director salary plus the dividends you've extracted from the company. Dividends are added to your salary and the combined income is used for the affordability calculation.

Director salary £12,000 + dividends £50,000 = £62,000 assessed income

Works well for directors who extract most company profits as dividends.

Specialist Approach

Salary + Net Company Profit

Specialist lenders will use your director salary plus the company's net profit before tax — regardless of how much you've actually extracted. This is transformative for directors who retain profits in the company.

Director salary £12,000 + net profit £90,000 = £102,000 assessed income

Can dramatically increase borrowing vs the standard approach.

Documentation

What You'll Need to Apply

Ltd company director applications are more document-intensive than standard applications — but we guide you through exactly what to prepare and make the process as straightforward as possible.

2–3 years accountant-prepared company accounts
2–3 years SA302 and HMRC Tax Year Overviews
Dividend vouchers (if using salary + dividends)
3 months personal + business bank statements
Accountant reference letter (if required by lender)

Our Process

Income Assessment

We review your accounts and SA302 to calculate the maximum borrowing available using both the standard and specialist approach.

Lender Selection

We identify the best lender for your specific income structure — salary + dividends vs salary + retained profit.

Document Preparation

We tell you exactly what to prepare and review your documents before submission to avoid delays.

Application & Offer

We submit your application and most clients receive a formal mortgage offer within 48 hours.

Ltd Company Director Mortgage FAQs

Complex director income questions? Call 0161 000 0000 — we know this space inside out.

Maximise Your Director Mortgage

We'll review your income structure and find the lender that offers the maximum borrowing for your specific situation. Book a free 30-minute call.

Book Free Consultation

Your home may be repossessed if you do not keep up repayments on a mortgage.

← Back to Self-Employed Mortgages

Get the Mortgage Your Income Deserves

The right lender can make a huge difference for Ltd company directors. Let us find yours.

Book Free Consultation All Self-Employed Options →

Limited Company Director Mortgages

Director income structures are complex — salary, dividends, and retained profits require a specialist approach. We know which lenders count your full income and will maximise your borrowing.

Salary + DividendsRetained Profit Counted2 Years AccountsSA302 + Company Accounts£20k–£20m turnover

Lenders that count salary + dividends

Lenders that count salary + retained profit

We choose the approach that maximises your borrowing

Specialist advice for high-earning directors

Most clients get a mortgage offer within 48 hours

Free service — no fees

Your home may be repossessed if you do not keep up repayments on your mortgage. MortgageReady is authorised and regulated by the FCA.

What You'll Need to Apply

Ltd company director applications are more document-intensive than standard applications — but we guide you through exactly what to prepare and make the process as straightforward as possible.

2–3 years accountant-prepared company accounts

2–3 years SA302 and HMRC Tax Year Overviews

Dividend vouchers (if using salary + dividends)

3 months personal + business bank statements

Accountant reference letter (if required by lender)