A significant portion of our clients are asset-rich but income-poor, yet they successfully secure multi-million-pound mortgages. At Enness Global, we specialise in providing tailored mortgage solutions for high-net-worth individuals (HNWIs) whose income may not meet traditional lending criteria.
Whether you are purchasing a new property or refinancing an existing one, the underwriting process for large mortgages remains largely consistent. However, when income is low, irregular, or non-standard, the available solutions can differ substantially. At Enness, we work with private banks and specialist lenders who understand the complexities of non-traditional income structures and offer bespoke solutions to meet the unique needs of our clients.
As our Partner, Victoria Barton, explains: “Traditional lenders often fail to reflect the true borrowing capacity of asset-rich clients. That’s why we take a more holistic approach, considering overall wealth rather than just income.”
How Standard Mortgage Affordability Works
For regulated mortgage loans (residential properties for personal use), mainstream lenders typically assess affordability based on income. Borrowing capacity is usually a multiple of the borrower’s income, commonly ranging from 4x to 6x, depending on the lender and borrower profile.
In addition to income multiples, lenders use affordability stress testing, which involves calculating net income, deducting known expenditures, and ensuring the mortgage payments remain affordable even if interest rates rise. This conservative approach can limit borrowing power, particularly for clients with complex or non-traditional income structures.
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When Traditional Lending Falls Short
Traditional lending can often be unsuitable for certain types of clients. Examples of clients that are asset-rich but income poor:
- Entrepreneurs with fluctuating or deferred income
- Individuals drawing income from investments, private equity, or dividends
- Clients relying on capital gains rather than PAYE or regular dividends
- Individuals with significant property wealth but limited liquid income
For such clients, traditional lenders who focus solely on tax returns often fail to reflect true borrowing capability. Instead, private banks and specialist lenders may take a more holistic approach.
Specialist Mortgage Solutions for Non-Standard Income
1. Prepaid or Rolled-Up Interest Mortgages
This facility enables clients to borrow interest upfront for a set period (e.g., 3–5 years), with the mortgage payments serviced from this pre-funded interest pot. Common scenarios include:
- Low-declared income (e.g., £100,000) but a large borrowing requirement (e.g., £1,000,000)
- Cash-rich clients who can pre-fund interest in a separate account
This is a solution typically offered by private banks to clients who meet high-net-worth exemptions as defined by the Financial Conduct Authority (FCA):
- Net annual income of £300,000 or more, or
- Net assets of £3 million or more
This exemption allows lending to be assessed based on overall wealth, not income alone.
Monetising Assets to Demonstrate Affordability
Some lenders allow the conversion of asset value into income equivalents for the purpose of affordability assessment. This can include:
- A percentage of an investment portfolio
- Property equity
- Other significant holdings (excluding pensions, which are generally protected)
- Private banks and some specialist building societies are particularly adept at using this strategy to support larger loan amounts.
3. Directors’ Loans and Private Equity Income
Business owners and investors often rely on:
- Directors’ loans: Not classified as traditional income but can be evidenced and explained
- Private equity: Gains from investments crystallised every few years
- Retained earnings: Accumulated profits left in a company instead of being drawn as salary or dividends
These income types can be difficult for mainstream lenders to understand but are accepted by specialist lenders when properly documented.
4. Buy-to-Let (BTL) Mortgages
Unlike regulated residential mortgages, BTL mortgages are assessed based on the rental income generated by the property, not personal income. As such, they offer more flexibility for clients with low or variable earnings.
5. Bridging Loans
Bridging finance is short-term lending that does not rely on income affordability. Instead, bridging lenders prioritise:
- The value and equity of the property used as security
- A credible exit strategy
Interest is usually rolled up, and in many cases, the borrower pays nothing until the loan is repaid in full.
Example Rates and Loan-to-Value (LTV) Options
| Product Type | Max LTV | Typical Rates* | Notes |
| Prepaid Interest | 65% | From 4.95% | Offered by private lenders; rate varies |
| HNW Exemption + Asset Monetisation | 80% | From 6% | Available through private banks and specialist lenders |
| Equity-Based Lending | 80% | ~6.9% (5-year fixed) | Less common; considered more expensive |
*Rates are subject to change and dependent on borrower profile, asset type, and lender.
Case Study Examples
Securing a High LTV Mortgage for a HNWI With Tied-Up Capital
One of our recent cases involved a UK-based client with over £10 million in net worth, but whose liquid capital was tied up in private businesses. They required a high LTV mortgage to purchase a new family home. Traditional lenders were hesitant due to the nature of the income, but we successfully secured a bespoke mortgage solution by leveraging the client’s earning power and asset profile.
(Read full case study here)
Cross-Border Mortgage for a £10 Million London Property
In this case, Enness arranged financing for a client based in the Middle East purchasing a luxury UK home valued at £30 million. The client required an eight-figure mortgage, with income from multiple international sources and offshore wealth structures.
Given the complexity of the case, we brokered the loan with a bank operating in both the UK and the Middle East, securing a highly competitive rate of 1.1% + Bank of England Base Rate, and an arrangement fee of just 0.5%. This case is another example of how we deliver bespoke solutions for ultra-high-net-worth individuals with unique financial profiles.
(Read the full case study here)
Why Enness Global?
At Enness, we work with private banks, specialist lenders, and international financial institutions to structure bespoke mortgage solutions for complex clients. Our team understands how to present non-standard income and asset profiles in a way lenders accept.
Whether you are an entrepreneur, investor, or globally mobile HNW individual, we provide access to lenders who think beyond the balance sheet.
Talk to Enness
If you're exploring large mortgage options with non-standard income, contact our expert advisors today. We'll tailor a strategy aligned with your unique wealth profile and long-term objectives.
The views and opinions expressed in this piece are those of the author and do not constitute advice or a recommendation. They do not necessarily reflect the official policy or position of Enness and are not intended to indicate any market or industry viewpoints, or those of other industry professionals.
