Meet Dominic Beecheno, a passionate small business consultant who entered a brave new world two years ago by starting his own business.
Now on paper, this is a move that should be congratulated. Unfortunately, not everyone thought this was a great idea. After receiving a new, higher interest rate on his mortgage – Dominic turned to his mortgage broker for guidance.
“I’d known my existing broker for over 2 years. We had what I thought was a terrific relationship. Once, I decided to go self-employed he never returned my calls or emails ever again despite saying he would. I tried two more mortgage brokers who totally blanked me. I felt lost and frustrated. I basically decided to swallow my new mortgage rate and pay the extra £200 a month, because no one would help me.”
With a family, a new business and new mortgage rate that would only increase his monthly outgoings at a time he needed to reduce them, Dominic was ready to throw in the towel until he found habito.
“I heard about habito through a letter in the post and decided I would give it a go. It’s free, all online and there was no impact initially on my credit score just to see what I could save.”
After running through the online form in minutes, he had a called booked with one of habito’s mortgage experts, Patrick. What many self-employed people don’t realise is that you can be helped! Some lenders can treat entrepreneurs the same as salaried employees, but each case is different. And when you don’t fall into the “salaried employee” category, it can be more complicated to prove the 2-3 year’s income often required to get a loan. Since Dominic was only a few months into going out on his own, it wasn’t a straightforward re-mortgage.
That’s where brokers can provide the most value. Unfortunately, time-poor traditional brokers often focus on cases that are easily managed and shy away from complicated cases like these as they can lead to significantly more work for the broker. Despite Dominic earning more than his previous role, on paper and in the eyes of a lender he was much riskier.
In record-time, Dominic had the mortgage he wanted and at a rate that would only save him money.
Frankly, the process was a dream and within a few days I was in a position to switch my mortgage and save over £2400 a year.”
That’s why habito was built. To help people like Dominic Beecheno who are being held back rather than praised for their accomplishments. No one, self-employed or otherwise, should feel like they have to stay on their existing mortgage rate because they can’t get help.