Table of Content
Investment Income Mortgages
If you receive income from stocks, shares, or other financial investments, it may be your main source of income or a valuable addition to your salary. The good news is that some lenders will take this into account when assessing affordability for a mortgage. However, only a limited number of lenders specialise in this type of income, and their criteria can vary widely. That’s why it’s essential to get expert guidance.
At Strive, we regularly help clients secure mortgages where investment income plays a key role. Our team knows which lenders are open to this type of income and how to present your case in the strongest possible way — giving you the best chance of approval on the right terms.
What Types of Investment Income Can Be Used for a Mortgage?
Lenders don’t treat all investment income in the same way. Some will accept it in full, while others may only take a percentage or apply self-employed rules. The main types of investment income considered are:
Rental Income
Rental Income is the most commonly accepted form of investment income.
- Accepted by most mainstream lenders, but criteria differ.
- Many assess it using a 2-year average of net profits shown on tax returns.
- Some will take 100% of rental income, while others only count a percentage.
- Mortgage-free rental income is treated more favourably by lenders such as Halifax, Nationwide, Skipton, and Barclays.
Dividends, Savings Bonds & Investment Accounts
Income from shares, savings bonds, or managed investment accounts can sometimes be used, but lender policy varies.
- Evidence usually required includes SA302s, portfolio statements, and recent bank statements.
- Generous lenders (Barclays, Accord, Coventry, Nationwide) may accept 100% of this income if it can be proven sustainable.
- Others may discount it — e.g. Santander (65%), Halifax (75% if retired), Atom (70%).
- Guide to Dividend income
Trust Fund Income
Some lenders will accept trust income, provided it is regular, ongoing, and well-documented.
Treated as secondary income and factored into affordability if reliable
Documentation typically required: trust deeds, bank statements, and confirmation from trustees or accountants.
Which Lenders Accept Investment Income for Mortgages?
Not all lenders are willing to take investment income into account — and those that do each have their own rules. Some will accept 100% if it’s proven sustainable, while others will only use a percentage or impose strict conditions.
| Category | Lenders & Criteria |
|---|---|
| ✅ Lenders that take 100% (if sustainable) | Barclays – accepts 100% if unencumbered. Requires 3 months’ bank statements + portfolio proof or accountant’s letter. Must show income is sustainable. Accord Mortgages – accepts 100% with a 2-year track record (accountant, SA302s, bonus letters) + bank statements. Coventry BS – accepts 100%, uses latest year or 2-year average (lower if income has dropped). Needs 2 years’ HMRC Tax Calcs + TYOs, or accountant’s cert with 6 months’ bank statements. Nationwide BS – can accept 100% but only where guaranteed/ongoing. Dividends from shares or own company allowed. RSUs/stock options excluded. |
| 🟠 Lenders that take part of income | Santander – accepts 65% as secondary income. Needs 3 months’ bank statements + portfolio evidence. Halifax – will only consider if applicant is retired. Uses 75% of dividend income and treats it as pension. Atom Bank – can accept up to 70%. Needs bank statements and source evidence. Metro Bank – very strict: only 5% of fund value, portfolio must be £250k+, max 20-year term, excludes property funds/volatile assets. |
| 🔵 Other lenders (case by case) | HSBC, Leeds, Ecology, etc. – may accept investment income if credible, but typically need 3 years’ tax returns and portfolio statements. Must be from stable, non-speculative investments (shares, managed funds). Excludes FX trading, single stocks, VCTs, speculative activity, and RSUs/stock options. |
How Do Lenders Assess Investment Income?
Lenders don’t all view investment income the same way — and their approach can vary quite a bit. Some will base their calculations on an average of your dividends or investment returns over the last two or three years, while others may look at the current value of your portfolio and apply a percentage to it.
Here are some of the most common approaches:
- Generous lenders may use 100% of your investment income when calculating affordability.
- Cautious lenders will only take 50–75% into account to protect against market fluctuations.
- A few lenders only consider investment income if it’s guaranteed and ongoing, such as fixed dividends from long-term holdings.
- Some will require evidence that your portfolio has been maintained at a certain value for 12–24 months, proving stability.
- If you’re planning to use part of your investments as a deposit, lenders often want reassurance that your remaining funds can still produce a reliable income stream.
Because criteria differ so widely, the lender you choose can make a huge difference to your borrowing power. This is where expert advice matters — at Strive, we know exactly which lenders are open to investment income and how to present your case effectively.
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How Much Can You Borrow?
The amount you can borrow depends on the lender’s criteria and your overall financial profile. Some lenders will consider 100% of your investment income, while others may only accept 50% of it. Mortgage providers then apply income multiples, usually ranging between 4.5 and 5.5 times your income.
For example:
- If your investment income is £100,000 and a lender considers 100% of it with a 4.5x multiple, you may be able to borrow £450,000.
- If the lender only accepts 50% of your investment income, the calculation would be based on £50,000, reducing the borrowing potential to £225,000.
Choosing the right lender can make a significant difference in your borrowing power.
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What Rates Can I Expect?
Mortgage rates for applicants using investment income are usually broadly in line with standard mortgage products. The difference isn’t in the interest rate itself, but in the availability of lenders. Because fewer lenders are open to investment income — and affordability checks can be more rigorous — your choice of deals will be narrower.
This makes it even more important to work with a broker who knows which lenders are willing to consider this type of income, so you can access the most competitive rates available.
How Long Do I Need to Have Held the Investments?
This varies depending on the lender:
- Some have no minimum history requirement, provided the income can be evidenced.
- Others want to see a stable track record of 12–36 months before they’ll include investment income in affordability.
The more history and documentation you can provide, the easier it is to demonstrate reliability and strengthen your case.
How Much Deposit Is Needed?
Deposit requirements for investment income mortgages are similar to those for standard mortgage applications. In many cases, a 5% or 10% deposit is sufficient, depending on factors such as your credit score, affordability, residency status, and the type of property you’re purchasing. Meeting lender criteria is key to securing a mortgage with a lower deposit.
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Can I Get a Mortgage on an Interest-Only Basis Using Investment Income?
Yes — some lenders will allow investment income to be used for an interest-only mortgage. Typically, you’ll need at least a 25% deposit (maximum 75% loan-to-value).
In some cases, a higher LTV may be possible if part of the mortgage is structured on a repayment basis alongside the interest-only element. Lenders will also want clear evidence that your investment income is sustainable and capable of covering the mortgage interest throughout the term.
Can You Get a Mortgage If You Only Have Investment Income?
Yes — it is possible to get a mortgage using investment income as your sole source of income, but the number of lenders who will consider this is more limited.
- Some lenders will allow investment income to be treated as your primary income, provided it is consistent, provable, and sustainable.
- Other lenders will only accept investment income as a secondary source, meaning you’ll also need employment, self-employment, or pension income alongside it.
Because the criteria vary so much, success depends on approaching the right lender — and presenting your income evidence in the strongest possible way.
What Documents Are Required?
The exact paperwork will vary depending on the lender, but most will want to see clear proof that your investment income is consistent and sustainable. Common requirements include:
- 2–3 years of SA302s and Tax Year Overviews
- 3–6 months of bank statements showing the income being received
- Portfolio statements for shares, funds, or other investments
- Trust fund documentation, if applicable
- Dividend income statements from companies or investments
- In some cases, an accountant’s letter confirming ongoing income
Providing the right documents up front helps reassure lenders and speeds up the approval process.
How Can Strive Help?
Mortgages based on investment income can be tricky because every lender takes a different approach. Some are happy to treat it as your main source of income, while others will only see it as a top-up alongside employment or pension income.
At Strive, we specialise in navigating these differences. We’ll:
- Identify the lenders most likely to accept your investment income
- Advise you on the documents you’ll need and how best to present them
- Maximise your borrowing potential by matching you with the most flexible criteria
With our expertise, you’ll avoid wasted applications and feel confident you’re approaching the right lender from the start.
Related Guides
If you found this guide useful, check out our other in-depth resources:
These guides explore how specialist lenders and private banks approach complex income, large loans, and bespoke mortgage solutions.
FAQs
Yes, but it depends on the lender’s criteria and how they assess your income. Some lenders accept 100% of investment income, while others only consider a portion of it.
Some lenders require you to have held your investment funds for 12-24 months to demonstrate financial stability.
Yes, but if your investment income significantly reduces as a result, some lenders may reconsider your affordability.
Not necessarily. If you meet mainstream lender criteria, you can access competitive rates. However, specialist lenders may charge slightly higher rates.
Working with a mortgage broker like Strive ensures you access the right lenders, competitive rates, and expert advice tailored to your financial situation.
Jamie Elvin
Jamie is an expert in all things mortgages, and our most experienced broker. Connect with Jamie and get started to see how Strive Mortgages can help you.
