Heron Financial arranged a £130,000 mortgage with NatWest Intermediary Solutions for joint applicants buying a £180,000 terraced home, with the lead applicant a self-employed sole-trader plasterer carrying two years of trading and one year of completed accounts. The case completed in September 2025 at approximately 72% LTV, with a £50,000 deposit funded from personal savings.
The clients
The clients were a couple buying a terraced home together. The lead applicant was a self-employed plasterer working as a sole trader, with two years of trading and one full year of completed accounts behind them. They had built a £50,000 deposit from personal savings and were ready to buy at the £180,000 mark.
The case at a glance
- Buyers: Joint applicants
- Occupations: Self-Employed Plasterer (Sole Trader, 2 years trading, 1 year completed accounts) plus second applicant
- Property type: Terraced house
- Purchase price: £180,000
- Deposit: £50,000 from personal savings (~28%)
- Loan amount: £130,000
- LTV: Approximately 72%
- Lender: NatWest Intermediary Solutions
- Repayment method: Capital and interest
The challenge
Two features made this case more demanding than a clean joint purchase at 72% LTV.
1. Short trading history. Most mainstream lenders require at least two years of self-employed accounts. Some accept one year, particularly for sole traders evidenced through HMRC tax calculations (SA302s) and tax year overviews. With two years of trading but only one year of completed accounts, the case sat at the lower end of acceptable trading history for many lenders. The lender shortlist narrows accordingly, and choosing a lender that takes a pragmatic view on shorter histories is what makes the difference between an approval and a decline.
2. Profit variation. When the recorded profit differs between trading periods, lenders read this carefully. Some apply a “lower of two years” approach, which can pull affordability down sharply if one year is lower than the other. Some take the most recent year only. Some average across the trading history. For a sole trader showing variation between trading periods, the lender’s specific reading of the income evidence determines what borrowing figure is available. NatWest’s approach to the case allowed the application to proceed on a workable income figure for the property and deposit involved.
The combination of one year of accounts plus profit variation narrows the realistic lender field. The Heron team’s role was matching the case to a lender that would handle both features cleanly, rather than spending weeks on an application that would ultimately decline on either factor.
How Heron Financial approached the recommendation
The Heron adviser worked through the household’s income, including the plasterer’s sole-trader accounts and the second applicant’s income contribution, and matched the case to a lender that would accept one year of self-employed accounts and take a pragmatic view of the profit variation. NatWest Intermediary Solutions, the broker channel of NatWest, came out as the right placement on criteria, affordability and product pricing at the time of application.
Heron Financial managed the application through underwriting, including evidencing the trading history, the SA302s and the supporting income documentation.
The outcome
The case completed in September 2025. The clients moved into their new home with the mortgage in place at approximately 72% LTV.
What this means for buyers in a similar position
For self-employed sole traders coming up to two years of trading, the mortgage market splits noticeably between lenders that accept one year of accounts and those that don’t. Some practical points worth knowing.
One year of accounts is workable but narrows lender choice. Most mainstream lenders want two or three years. Some accept one year, often using SA302s and tax year overviews as evidence. The placement question matters more than for borrowers with longer histories.
Profit variation is a real lender consideration. Lenders read year-on-year variation carefully. Some use the lower year. Some use the most recent. Some average. The right placement depends on which lender’s approach produces the workable affordability figure for the borrower’s actual income shape.
Sole trader income is evidenced differently from Ltd company director income. Sole traders evidence income through HMRC tax calculations, tax year overviews and sometimes an accountant’s reference. Ltd company directors evidence income through company accounts plus salary/dividend records. The two pathways have different lender criteria.
For tradespeople, a 25-30% deposit gives meaningful lender choice. A larger deposit doesn’t override income evidence concerns, but it does open up more lender options and improves rate availability at the LTV bracket. The £50,000 deposit in this case (around 28%) gave the case room to find the right lender.
For joint applications combining a self-employed lead with a second applicant on a separate income, the second applicant’s income contributes to affordability alongside the self-employed income. Lender treatment of the combined picture varies and benefits from broker advice.
FAQs
Can a self-employed sole trader get a mortgage with only one year of accounts?
Yes, but the lender market is narrower. Most mainstream lenders want two or three years of accounts. Some accept one year for sole traders, typically evidenced through HMRC tax calculations (SA302s) and tax year overviews. In this Heron Financial case, a self-employed plasterer with one year of completed accounts secured a £130,000 mortgage with NatWest Intermediary Solutions.
How do lenders treat profit variation in self-employed accounts?
Approaches vary. Some lenders use the lower of two trading years. Some take the most recent year. Some average across the trading history. The right placement depends on which lender’s approach produces a workable affordability figure for the borrower’s actual income pattern.
Is NatWest good for self-employed mortgages?
NatWest Intermediary Solutions is the broker channel of NatWest, one of the major UK mainstream lenders, and is regularly considered for self-employed cases including sole traders with shorter trading histories. Heron Financial assesses every case on its merits and selects a lender based on affordability, product pricing, criteria fit and service standards at the time of application.
Can a plasterer or other tradesperson get a mortgage?
Yes. Tradespeople, plasterers, electricians, plumbers, builders, joiners and others, are regularly placed for mortgages, typically operating as sole traders or through Ltd companies. The income evidence pattern depends on the operating structure. Sole traders evidence through HMRC tax calculations; Ltd company directors evidence through company accounts.
Can my partner be on the mortgage if I'm self-employed and they're not?
Yes. Joint mortgages combining a self-employed applicant and another applicant on a different income basis are common. In this Heron Financial case, the joint application combined a self-employed plasterer with a second applicant, with the lender assessing the combined picture.
