As long as you have the necessary requirements you can apply for housing benefit.
Applying for Housing Benefit
If you want to live in a decent accommodation yet you do not have enough fund to obtain fully furnished house then you should apply for housing benefit. This is not only for employed individual but also for self-employed. All you have to do is to inquire from the concerned agency if you are qualified for such benefit. When you apply for housing benefit you should possess any of the following such as income support,having full time or part time job as well as self-employed.
On the other hand, there are several factors that affect the awarding of the housing benefit to a self-employed individual.
*. The amount of rent that can afford by the applicant.
*. Council tax liability
*. Number of family member including the non-dependents
If you know that you are qualified for housing benefit you should not delay claiming it. The first thing to do is to proceed to the agency and complete the claim form. As much as possible you should show proof of self-employment, proof of income and other requirements asked by the office. If the claimant is self-employed there are other requirements to be submitted before the claim is processed.
Moreover, when applying for housing benefits for self-employed you should ensure to meet the savings required. Likewise, the approval of the claim is based on the savings as well as personal circumstances of the claimant. It is also required to submit the audited business accounts and the self-employed earnings. On the other hand, if the applicant does not have the audited accounts
Self employed individuals have created the need for a special category of mortgage loans for self-employed borrowers. While loans for the self-employed have been around for many years, recent streamlining of some programs make the process simpler and safer for self-employed borrowers. Despite the recent tightening of mortgage underwriting overall, the self-employed can still get mortgage loans.
The primary problem that self-employed borrowers face is that while their accountants are experts at reducing tax liabilities by minimizing current net income, underwriters rely on that same net income as a gauge of a self-employed borrower’s earnings. That is great for minimizing your income tax liability but hurts your ability to qualify for a mortgage.
The second major problem for the self-employed is that nearly all mortgage lenders require that borrowers be self-employed for at least two full years. For the lender, this means showing the last two years of tax returns showing two full years of self-employment income. Since most people do not start their business exactly on January 1, what this really means is that you need to be self-employed for two January to December years in order to meet the two year test.
Self-employed individuals are not necessarily more or less of a financial risk than employed borrowers. However, the manner in which borrowers are reviewed by underwriters for loan approvals can often make a self-employed borrower’s financial position look worse than it actually is. In the current mortgage environment, self-employed mortgage borrowers will be required to document every aspect of their business and can expect to have every part of their tax returns and business bank statements reviewed to make sure they are really making the income claimed on their tax return.
Posted: 04 Oct 2012 03:44 AM PDT
By Accommodation Times Bureau
Loans & Property Curry
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