Today, the status of self-employed is not an obstacle for registration of a mortgage loan. About how to get a housing loan to people who earn independently, we talked to the head of the Absolut Bank in Yekaterinburg Svetlana Kovalevoy.
- What percentage of applications for a mortgage comes from self-employed?
- In the first two months of 2021, the share of mortgage applications from self-employed bank in the Sverdlovsk region amounted to 2%. It could be more than 1.5-2 times, but often self-employed simply do not know that they can also make housing loans as IP or citizens working on hiring.
As of the beginning of February 2021, almost 51 thousand self-employed was registered in the Sverdlovsk region. On average, the increase is almost 4 thousand people per month. Therefore, the relevance of the mortgage for this category of citizens will grow.
We predict that by the end of 2021, the share of rectification on the mortgage from self-employed can grow up to 4-5% of the total.
- In which industries are most often occupied by potential borrowers self-employed?
- According to our observations, most often self-employed, who wanted to arrange a mortgage, are engaged in cargo and passenger traffic (taxis), delivery, educational services, work in advertising, construction and repair, receive fees as fitness coaches and coaches. Also popular for rent apartments and office space for rent, trade in goods products.
- Why banks reluctantly give a mortgage to self-employed citizens?
- In general, banks are reluctant to work with self-employed. The main reason is the complexity with the official confirmation of income. In case of citizens working on employment, with an employment contract, the earnings can be confirmed by reference 2-NDFL or in the form of a bank. The salary of them is usually stable. But the income of self-employed is not so transparent and can change from month to month.
But in Absolut Bank, registration as a self-employed is not an obstacle to get a mortgage. We issue such a category of citizens housing loans under standard programs, with a minimum rate of 8.84% per annum. Registration of the "Children's Mortgage" at a rate of 5.49% per annum is also possible. The initial fee for self-employed is at least 30% of the cost of housing.
- What documents should be prepared by self-employed to prove your income to the bank?
- The procedure for submitting an application from a hire employee and from a self-employed citizen differs from us only by a package of documents. Instead of certificates about income and copies of the employment record, which assures the employer, self-employed must provide documents from the tax. This is a certificate of registration of an individual as a taxpayer of the NAP (KND 1122035) and a certificate of the state of calculations (income) on the NAP (CBD 1122036).
I note that applications from self-employed are considered to the Absolut Bank individually, therefore the answer deadlines can be a little longer than is usually not half an hour, and about a day. Work experience as self-employed must be at least 6 months. The level of earnings and seasonality of the sphere of activity is important.
Of course, credit history matters. Suppose there are two borrowers with the same confirmed income level. One of them is self-employed with a good credit history, and the other is a hired worker who has repeatedly allowed delay, the chances of approving the loan in the first will be much higher.
Submit an application for a housing loan. Self-employed citizens can be remotely - on the website of Absolut Bank or through partners among realtors and developers connected to our digital platform.