Article Surfing Archive

These days more and more people are waking up to the possibilities of self-employment. Research suggests that the numbers of self-employed people will swell as the days go by. Self-employment has many advantages such as flexible working hours, the option of taking on only as much work as one pleases, and the possibility of higher pay while working on one's own terms. Given these advantages, it is not surprising that people have begun to look at self-employment as a serious option.

However, along with all the advantages that come with self-employment it also have its share of disadvantages. For starters, a self-employed person may not have a regular income. There may be a windfall one month and next to nothing the next. It is not the most secure form of working. If one is self-employed one must be ready for the insecurities that are inherent in working this way.

Again, it is one thing to tell people who are self-employed to be prepared to deal with the insecurities of an irregular income. How about the people that do business with them? Take the instance of buying a house. If a person has a full-time job which pays a fixed salary at the end of the month, he should not have too much trouble in getting hold of a suitable home mortgage. However, when it comes to a person with an irregular income, lenders will be much less willing to take the risk of loaning him the amount. Moreover, it may not be possible for a person with an irregular income to make regular monthly payments on a mortgage throughout the year. That is the reason why all self-employed people rejoice at the thought of a flexible mortgage.

Now, a flexible mortgage is specifically suited for people that are self-employed. On the negative side, these loans charge a considerably higher rate of interest. However, the virtues far outnumber the flaws. A flexible mortgage does not require the borrower to repay a given amount every month. The borrower is allowed to pay as much or as little as he likes depending on his monetary situation that month. Then, after having paid a certain amount of the borrowed amount, the borrower would also have the option of borrowing from the paid-up amount. This would lead to the mortgage period carrying on for a longer time, but it would provide a great deal of ease to the self-employed borrower. Buying a house has certainly become easier for the self-employed person.