Mortgage for home used for business purposes ??

barnesy1977 · Joined: 27 May 2010 Posts: 1 Location: West Midlands

Hi there,

I have a query that I'm hoping somebody could kindly shed some light on. I currently run a small business which basically requires a storage facility and a small office just for myself.

At the moment I'm forking out about £25k a year in rent, business rates, insurance on the unit. I was hoping to buy a storage unit rather than rent but they so rarely come available I've pretty much given up on this option. Rather than chucking £25k a year into someone else's pocket, I was wondering if anyone knew whether it was possible to obtain a larger than normal mortgage to buy a large house which incorporates workshops type areas or other outbuilding which I could use for storage.

I have no employees and the public do not visit my busines - just one courier van per day and I know this level of business is acceptable to use within my own home etc.

On paper, I would save £2k per month by not having a business premises, which I could put onto a mortgage so therefore I would not be spending any more than I currently am but obviously I have the added benefits of paying off in effect keeping this amount money myself.

I'm not familiar with the limitations of self cert mortgage products or any other products that may be required to do this. Briefly, I would look to buy a property cost say £350k-£400k. I can put £100k as a deposit and I earn say approx £50k per year. Does anybody have any advice on whether this is possible or likely in any shape or form ??

Any advice would be appreciated.
Many thanks